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Average sold price of homes in metro Denver for August surpasses a record $600,000
Even though single-family homes and condominiums available for sale in August were down approximately 50 percent from a year ago, buyers were still snatching up homes in rapid fashion. A total of 5,595 homes sold in August was an all-time record for the month in metro Denver, and the average price of a home exceeded $600,000 for the first time in recorded history at $606,330.
According to the Denver Metro Association of Realtors, significantly more homes would have sold if they were available, but the market has reached a “desperate” level for those in the marketplace. The imbalance between supply and demand continued to push prices higher. The condominium market, however, was not as hot as the single-family market.
Some industry observers believe that the COVID-19 virus is the culprit as urban condos have lost some of their attractiveness as homebuyers search for more space in a less densely populated environment. Also, inventory at such low levels has convinced many would-be sellers to sit tight.
The federal response to the pandemic could also be introducing distortions into the housing market. Record-low mortgage rates have improved affordability, and younger buyers, especially first-time buyers, are anxious to buy while rates remain low. Also, homeowners who have lost their jobs have up to a year to skip payments, so pressure to list their homes has eased up considerably.
According to the Denver Metro Association of Realtors, significantly more homes would have sold if they were available, but the market has reached a “desperate” level for those in the marketplace. The imbalance between supply and demand continued to push prices higher. The condominium market, however, was not as hot as the single-family market.
Some industry observers believe that the COVID-19 virus is the culprit as urban condos have lost some of their attractiveness as homebuyers search for more space in a less densely populated environment. Also, inventory at such low levels has convinced many would-be sellers to sit tight.
The federal response to the pandemic could also be introducing distortions into the housing market. Record-low mortgage rates have improved affordability, and younger buyers, especially first-time buyers, are anxious to buy while rates remain low. Also, homeowners who have lost their jobs have up to a year to skip payments, so pressure to list their homes has eased up considerably.
