What Our Record-Low Supply Means for You
Here’s your latest real estate market update for the Denver metro area.
Today I want to talk about what we’re seeing in the Denver metro as of November 2021.
We had 2,248 active listings at the end of the month. That is the fewest listings we’ve had in November since 1985, which really highlights the lack of inventory we’ve been seeing.
There were 4,392 closed homes in November. That’s down about 10% month over month and year-over-year. With lower inventory, you should expect fewer homes to close.
The average price point, including both single-family homes and condos, was $692,479. That is a 2.91% increase month over month and a 15.49% year over year increase.
Our inventory is over 700% below the average for this time of year.
Loan limits also went up for both conforming and high-balance loans. Conforming loans went up from $548,250 to $647,200, and high-balance loans went up from $596,850 to $684,250. When you get into that jumbo loan area, the rates and terms are much different, so this change lets more people get into the marketplace at those higher price points.
Going back to supply, the highest inventory ever for November was 27,530 homes in 2006. The average is 14,180 homes. If you look at it that way, we are over 700% below average. There’s just no inventory out there, but we’re expecting that to change after the holidays.
Usually, inventory drops 11% from October to November as people hold off listing their homes over the holidays. The drop from October 2021 to November 2021 was over 33%. People are pulling back and waiting for the new year. That’s why we expect a strong market in 2022.
I hope you’re well. Enjoy the holidays, and if you have any questions, feel free to call or email me. I’d love to hear from you.