Happy New Year!
A new year (and decade) often comes with new opportunities, a fresh start and a desire to change. However, homebuyers in metro Denver might get that that sense as they search for homes for sale.
The last quarter of 2019 looked promising with an increased level of housing inventory, price reductions and homes taking longer to sell. Although, as we approached the start of 2020, we saw a steady decline of homes on the market. From November to December the number of homes for sale plunged 27%. The typical drop for the holidays between November and December is 11%. This 27% drop was uncharacteristic.
Sure, this lack of inventory is not new for Denver. We have certainly been here before but what is different is WHO is driving this lack of inventory. In the past, the lack of inventory has been due to the homes going under contract quickly as buyers compete (very often resulting in multiple offers and driving up the price). Currently, the lack of inventory is truly because sellers are not selling their home. There are no homes for sale.
It is still early in the year to fully speculate what will happen but it is fair to say that with little inventory, the environment can get very competitive (again) for the first half of the year.
As always, we will keep you updated as the year progresses.
Liz is broker and owner of Liz Daigle Realty.