Most Competitive Sector of the Metro Denver Real Estate Market Right Now

With interest rates having risen in the past few months, the most affordable — and competitive — part of our Metro Denver real estate market is attached single-family homes [townhomes and condos]. In July, we had roughly 1,500 units for sale and that number should be around 2,000 in terms of what we’d typically anticipate based on our normal Metro Denver market [3.5-4 months supply of inventory].

We now have 1.2 months of inventory in the attached market [meaning there are 1.2 homes for every one buyer in the market; or in other words, if no additional homes came on the market after today, we would run out of homes to sell folks after 1.2 months]. The detached market has 1.7 months of inventory, so the attached market is a bit tighter.

Further, we are still sitting at 20.7% of the inventory needed for a balanced market [6 months supply]. The $200k-$399k sector only had 494 homes on the market in July whereas we should have had 3,354 total for a balanced market. The odds of selling [homes going under contract versus those staying on the market, projected out for the next 30 days] is about 60%. This is where we were between 2013-2018. We also had more showings in July in than in June, and list to close price is 101%. Thus, the buyer market here is still relatively competitive.

Nonetheless, September typically has the MOST inventory on the market than any other month in the year. Even though the buyer pool is larger for attached single-family homes than detached, October sees the lowest average close price out of the whole year, so whatever part of the market you’re looking into, it’s not a bad time to jump in.

*Data applies to the 7 Metro Denver Counties of: Adams, Arapahoe, Broomfield, Denver, Douglas, Elbert and Jefferson. Thank you to Megan Aller at First American Title Company for the assimilation of data.