2008 Denver Real Estate in Review
December 29, 2008 by Bob Schenkenberger · 1 Comment
2008 was a difficult year for the US real estate market. Denver was not immune to the epidemic of foreclosures, and general market malaise.
However, Denver fared much better than most other markets around the country. In fact, I predicted in Feb. 2008, that the Denver Real Estate market was on the mend. This, in my opinion, is still happening. I believe we hit the bottom of the market in February or March, and have been bouncing off of the bottom since.
Here is the year to date recap through November 30th, 2008
| 2008 | 2007 | % Change | 2006 | % Change | |
|---|---|---|---|---|---|
| Avg # of Homes on Market | 24798 | 27683 | -10.5% | 28958 | -14.4% |
| # Homes Sold | 44603 | 46570 | -4.3% | 47140 | -5.4% |
| Days on Market | 102 | 104 | -2% | 102 | 0% |
| Avg Price | $251,683 | $283,212 | -11.2% | $288,916 | -12.9% |
**Data was compiled from Metrolist Statistics
Notice that the price and inventory of homes on the market has come down considerably, While the number of sales and days on market are remarkably flat. I attribute this to the fact that over the past 12 months, the investment buyers are eating up the bargain priced, lower end inventory. The upper end homes are moving very slowly, and are taking a beating on their prices. Thus, the average price is skewed somewhat.
- Image via Wikipedia
I’m not sure when we will start taking off with appreciation, but I am confident we won’t see the market get worse. My guess is the 2009 will continue to be flat as more of our inventory is absorbed. However, once the move up buyers can’t resist the deals to be had on the over $500k price range homes, we may see the dominoes start to fall!
Stay tuned for our monthly market reports, and check real time data here.
Tell us what you think! Leave a comment below with your questions, thoughts and insights.
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Bob has been an active REALTOR for 18 years. During this time, he has closed over 500 transactions, and has been the broker of record for 1000's more. Bob can be reached via email (bob@gethomedenver.com) or phone (303.770.1180.)
Those are really encouraging numbers for your area. To the laymen, it might not be impressive, but it looks to me that you are right and that the bottom has come and gone.
Here in Pensacola, we are seeing the inventory come down a little, and the number of purchases rise a little, both of which are encouraging signs for 2009.
January and February are historically the best months of the year here, so I going to strap on my seat belt and get ready for a ride in the next few months.
Good luck in the mile high city, and happy new year.
Steve