Denver Metro Area Real Estate Review 

June 2023

Things are feeling normal in the Denver Metro Area real estate market again. We may not be seeing the sales volumes of the pandemic years, but we’re definitely not in the doldrums anymore. Even when the national narrative continues to talk about shaky housing sales and pricing decreases, Denver continues to be a very popular place to migrate. Mortgage rates nationwide have seemingly stalled, just under 7% on a 30-year fixed. This means buyers are still in the same mindset as months past: waiting for the perfect home to come on the market for them aggressively while sellers are willing to make concessions. Let’s take a look at what the local real estate markets are doing.

Denver Metro Area

Housing prices have gone up again across the Denver Metro Area, and quite a jump since last month compared to the rest of the nation. The median sales price coming into June was $595,000, only down 3.25% from last year but up from last month. Closings are on the rise, month-over-month, but compared to the previous few years the total number of listings sold is down almost 30%. This also means inventory continues to grow, offering more options for buyers. Homes continue to move quickly this summer, staying on MLS an average of 22 days, while most houses sell in about a week after listing. With home valuations still rising in the Denver Metro area real estate market and mortgage interest rates remaining just around 7% (with a strong possibility of rising again), buyers who have been waiting since the beginning of the year seem to be committing now.

Boulder County

For the first time in years, the month-over-month median sales price of homes in Boulder decreased. And significantly more than the rest of the Denver Metro area real estate market. Median sales prices dropped 7.7% coming into June, bringing the median home price at $847,000. Though these sales prices may have dropped, home valuations in Boulder County continue to rise. This could mean that fewer of the multi-million dollar homes sold this past month. Due to the cost of homes in Boulder County, negotiation power is strong, especially in Boulder proper. Contracts for Townhomes and Condominiums have slowed in the Boulder area, which also brought the median sales price down to $481,000. This is still an historically high valuation price, having seen condos and townhomes stall out around $350,000 for years. Real estate inventory in Boulder County is increasing as we move into the heat of the summer.

Longmont

Housing prices in Longmont remained consistent from May to June, hovering just around $587,000. This is not much lower than last year’s median sales price of $590,000, but we are seeing a slight dip. Where most of the Denver Metro Area real estate markets have seen a peak and decrease in median sales prices, Longmont is continuing to rise marginally month-over-month. The average time spent on MLS remained about the same as last month, just around 26 days on market. This timespan on MLS is incentivising sellers to negotiate in the face of stagnant interest rates and more homes being listed. Almost 24% of homes sold in Longmont went under contract at a lower price than list-price. A surprising 44% of homes still sold over list-price, which may have been part of the negotiation process! Interest is still high in the greater Denver Metro Area. Longmont’s proximity and price continues to draw buyers to our neighborhoods.

Even though the national real estate market seems turbulent at best, the larger Denver Metro Area real estate market seems to be holding onto a steady, slow-paced increase in home valuations and sales overall. The fervor of the pandemic buying years has definitely come to an end with higher mortgage rates. Colorado, however, continues to be a destination location for families, businesses, and individuals moving away from harsher markets. If you’re in the market for a new home, then the time to buy is now. The Federal Reserve has stated their intentions to increase interest rates in the coming months, which will inevitably make mortgage payments increase. Prices don’t seem to be going down, but that doesn’t mean everything is out of your budget. Let’s start house hunting together and find that perfect home for you!