October 2024 Denver Housing Market Update

Denver Metro Housing Market Update for October 2024

Hey there! If you’re thinking about buying or selling a home in the Denver Metro area, you’re in the right place. Today, we’re diving into the latest trends and insights for October 2024. To get the full scoop, check out the video here:

Prices and Activity

Prices Down, Activity Up: Over the last month, the average home price in the 7-county Denver metro area fell to nearly $667,000 with the median price now at $575,000. Despite this, pending sales surprisingly are up, matching levels not seen since June—something unusual for this time of year.

In September, we saw over 10,000 available listings, and pending sales exceeded those of July and August, indicating that buyers, encouraged by rate cuts, are jumping back into the market.

Interest Rates and Buyer Leverage

Rates Dropping: Mortgage rates have dipped into the 5-6% range, thanks to a recent Federal Reserve rate cut and other economic factors. This has motivated buyers who were previously on the sidelines to act. With rates expected to continue to drop, albeit slowly, buyer activity is likely to increase even more in the coming months.

Leverage for Buyers: With over 10,000 active listings and average days on market of over a month, buyers currently have more leverage. This is a great opportunity to negotiate favorable terms and find a home without intense competition.

What This Means for Sellers

Seasonal Trends and Pricing: Although prices have dipped, much of this is seasonal. The number of new listings has remained steady, likely driven by homeowners deciding to sell now that rates are lower, making that move they’ve been wanting to make for 2+ years more affordable. Sellers need to price and position their homes strategically to attract the serious buyers in this market and beat out the competition.

Buyer Sensitivity: Properties that are priced correctly and in good condition are selling faster, while overpriced or less desirable homes may sit for 3+ months. Partnering with a knowledgeable agent is essential to know what’s important to the Buyers out looking.

Key Takeaways for Buyers and Sellers

For Buyers:

Leverage Your Position: Lower rates mean more buying power, and the increased inventory means less competition.
Consider Refinancing: If you purchased in the last couple of years at a higher rate, now may be the time to refinance and potentially save $500 to $1,000 per month pretty easily.
Explore Temporary Rate Buydowns: Options like 2-1 or 1-0 buydowns can lower payments in the short term, but still leave you in the position to take advantage of a Refi down the road.

For Sellers:

Price it Right: Set a competitive price to attract buyers, especially as we head into the slower winter months.
Prepare for More Buyer Activity: With pending sales up and rates dropping, it’s time to get serious about making a gameplan of Buying now and selling after the election into Spring 2025.
Be Patient: Days on market are averaging 39, with a median of about 25 days, so be ready for a little longer selling period. Homes don’t need to sell in 3 days or less to get you what you need to move forward.

Market Outlook

I’m expecting the market to quiet down in late October and early November due to the election noise. However, with any chance of consistent rate cuts and pent-up demand, activity may likely pick up post-election. With more than 3+ months of inventory, now is an opportune time for buyers to act.

Conclusion

The Denver housing market in October 2024 offers opportunities for buyers and sellers alike. Prices have dipped, inventory is plentiful (at least compared to the last decade), and rates are at their lowest in for the last couple of years. For buyers, this is the time to leverage favorable conditions and find your dream home. For sellers, more buyers are coming back, creating a prime window for listing your home and making the move you’ve been waiting to make.

Ready to take advantage of these conditions? Book a consultation at www.calendly.com/RealtorStacie or call/text 720-295-9089 to make a game plan!