January Market Report - Metro Denver
Last Month's Key Statistics
for Denver's Real estate Market
Attached & Detached Single Family Homes
THE AVERAGE SALES PRICE OF $687,672 IN DECEMBER DECLINED 0.2% FROM LAST MONTH AND ROSE 4.8% FROM LAST YEAR.
Quick Stats:
- The average number of active listings for December is 11,966 (1985-2023).
- The record-high for December was set in 2007 with 24,603 listings, while the record-low was set in 2021 with 1,477 listings.
- Historically, active listings drop by an average of 17.9 percent from November to December. This year's decrease of 26 percent exceeds the seasonal norm but aligns with the 10-year average of 25.4 percent.
Happy 2025!
I hope you all had a great holiday season and are getting back to your normal life routines!
One of the big stories as we review 2024 is how much better detached properties performed over attached properties. While detached properties appreciated during 2024, attached properties lost value. An increase in insurance costs and maintenance budgets have lead to a 37 percent increase in HOA dues since 2020. This additional cost on condo owners has certainly lead to the depreciation in value in condominiums in 2024.
In other news, we now have established two full years of a high-interest rate market. Many had hopes that rates would come down in 2024, and while they took a brief dip, we ended with rates back where they started the year in the high 6s. Showings were up year-over-year in December, which indicates buyers are beginning to re-enter the market despite the higher rates as life changes are increasing the desire to buy, even with higher rates.
But even with the high-interest-rate market we experienced yet again in 2024, Denver showed just how strong its real estate market is with a 5% annual appreciation rate throughout 2024. Can you imagine how much appreciation will occur when rates finally come down?
Sellers, remember that timing is critical. Many buyers are about to start shopping in the new year. Just how motivated they are is yet to be seen, but expect demand (and your competition) to increase until we get to the end of spring. Our peak selling season is now through May, not summer.
Buyers, there are still not a lot of options out there, depending on your price point. Be really clear on your priorities. There is no perfect home, so remember that if a home is meeting 85% of your priorities, it's worth considering. If you're considering a condo, now could be a great time to buy after a year of condo price declines. If you're considering a detached home, be prepared for even more appreciation this year, especially if rates come down.
Thanks for reading! And please let me know if you need any additional detailed statistics for your particular needs.
Wishing you all the best in 2025!
Zach
