Denver Market Update for June, 2008

Market Update Release from The Berkshire Group, Realtors,

by Larry D. McGee, CRS, CRB, President and Managing Broker

The attached statistical review of the Metro Denver Market provides much needed positive news for buyers and sellers of real estate in the area.

The average sale price for all residential property rose $11,000 from May to June 2008. Even better news is demonstrated by an increase in the median price from $226,500 to $230,000. More good news:

The fallen deal rate of 23% is down from May’s 25%, indicating more confidence from the average consumer regarding the state of the market.

Resale inventory continues to decline, 220 units from May to June, and 4,100

Units from June of 2007. This continues to push the market away from favoring the buyer toward favoring the seller.

Total homes under contract in June exceeded June 2007 by 172 contracts, indicating a local market of steady strength.

The inventory absorption rate of 5.45 months is considered by most experts to indicate a “neutral market”.

As most industry experts have predicted, the Denver market will lead the nation’s real estate recovery. Two months of positive numbers is a reason to rejoice.

The Numbers

● Metro Denver Prices:

Single Family Average Price: Jun 2008 - $286,887

(Detached Dwelling) May 2008 - $276,374

Jun 2007 - $334,833

Condo Average Price: Jun 2008 - $190,367

(Attached Dwelling) May 2008 - $175,758

Jun 2007 - $186,328

Combined Average Price: Jun 2008 - $267,005

May 2008 - $255,944

Jun 2007 - $304,055

● Percent of Sales Price Change: Single Family : -14.32%

from Jun 2007 to Jun 2008 Condo : 2.17%

Combined : -12.19%

● Total Combined Number Jun 2008 - 26,104

of Homes for Sale: May 2008 - 26,333

Jun 2007 - 30,256

● Percent of Change in Available Inventory: -13.72%

(Jun 2007 vs. Jun 2008)

● Total Homes Under Contract:

Single Family Condo

Jun 2008 - 5,091 Jun 2008 - 1,217

May 2008 - 5,116 May 2008 - 1,222

Jun 2007 - 4,867 Jun 2007 - 1,269

● Number of Combined Homes Sold this month Jun 2008 - 4,845

vs. previous month May 2008 - 4,664

vs. same month last year Jun 2007 - 5,129

● Average days on Market: Jun 2008 - 96.88

(Combined Sales) May 2008 - 100.02

Jun 2007 - 96.90

● Absorption Rate: (# of weeks Jun 2008 - 23.35 weeks

necessary to sell current combined May 2008 - 24.47 weeks

inventory at current rate of sales) Jun 2007 - 25.56 weeks

● Median Sold Price: Single Family Condo

Jun 2008 - $230.000 Jun 2008 - $148,345

May 2008 - $226,500 May 2008 - $148,000

Jun 2007 - $263,000 Jun 2007 - $157,950

Written by Larry D. McGee, Denver Realtor - Visit Website Sphere: Related Content