LIV SIR Analyzes Quarter 3 Micro Markets, Signs of Continued Growth in Colorado Real Estate

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3400 East Virginia Avenue, Denver, CO. Listed by LIV Sotheby's International Realty for $1,675,000.

LIV SIR Analyzes Quarter 3 Micro Markets, Signs of Continued Growth in Colorado Real Estate

On October 18, 2016, LIV Sotheby’s International Realty released a Quarter 3 (January through September) Micro Market Report indicating that the Colorado real estate market has seen continued growth in 2016. The Micro Market Report (MMR) compares 2016 statistics (January through September), to that of 2015, for single family homes and attached dwellings.

“Denver and surrounding communities continue to appreciate rapidly, and with inventory generally low, it’s still a seller’s market in most price ranges,” said LIV Sotheby’s International Realty president, Scott Webber. “Showing activity has diminished since the busy summer selling season, but demand continues to be strong, driven by a robust and growing economy, and one of the most attractive lifestyles available anywhere in the world.”

LIV Sotheby’s International Realty compiles Micro Market Reports for the residential areas the brokerage services, which includes 13 office locations in Denver metro, including Castle Pines, Cherry Creek, Denver Tech Center, Downtown Denver, Evergreen and Boulder and the resort communities of Breckenridge, Vail, and Beaver Creek.

In Denver metro, the average price of single family homes and condos combined rose 10.1%, resulting in an average price of $396,633 in Denver metro.  In the city of Denver, the average price of single family homes and condos rose 9.1%, resulting in an average price of $424,978.

Inventory has decreased slightly, down 2% in Denver metro, and the number of sold listings in Denver metro and the City of Denver are down 2.1% and .4% respectively.  Meanwhile, the total dollar volume sold in Denver metro has increased 7.8%. The economic rules of supply and demand play an important role in understanding our current real estate market.  Simply stated, the low supply of inventory combined with a high buyer demand to purchase is creating a market where values will continue to increase.

Across the board, days on market rose 14.3%, (now 32 days on average) in Denver metro, and the sales price to list price ratio held at 100.5%. This statistic is evidence of continued competitive, and steady conditions in the marketplace.

Highlights from the 2016 Q3 report indicate that the city of Denver’s average price reached $424,987 – up 9.1%, Castle Pines Village’s average price is $1,065,350– up 13%. Cherry Creek North’s average price is $1,165,744 – up 23.2%, and Uptown’s average price is $407,700 – up 4.3%.

The Boulder Area MMR indicates that the average sales price of single family and attached dwellings combined rose 16.7%, resulting in an average price of $582,934.

“The Boulder market was rated the #1 metropolitan statistical area in terms of the price appreciation by the federal government with over 14% gained in the last twelve months at the end of the third quarter 2016,” said LIV Sotheby’s International Realty Boulder managing broker, David Carner.  “These are exciting times for sellers, but difficult times for buyers entering the market.”

Compounding the affordability problem is a distinct lack of inventory.  Accordingly, average price is up across the board, anywhere between 10%-30% for single family homes depending on the neighborhood.  Although fewer homes were sold in the first three quarters of 2016 than the same period in 2015, total sales volume is up slightly, and is just under $2B year-to-date.

LIV Sotheby’s International Realty compiles monthly, quarterly and year-end reports to help consumers make better real estate decisions, whether purchasing or selling a home. Reports can be accessed as www.coloradomarketreports.com.  For more information, contact Brittanny Havard, public relations manager, LIV Sotheby’s International Realty at 303.486.3738. To service all of your real estate needs visit www.livsothebysrealty.com.

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