Ready to Make Your Move?From 2015 through 2020, closings peaked in summer and declined 34% on average between the peak and November. This year, closings dropped 21% from their peak in June to November, less than the average during that five year period. That indicates demand for housing is still strong as we enter the winter.
While things are slower now than during June or July, other indicators also show demand remains strong. Showing activity, for example, has remained high for the past few months. In fact, according to data from ShowingTime, a real estate showing service, Denver and Seattle saw the highest buyer demand for showings in October. Showings were up 7% in October compared to 2020 and up 7% compared to September.
Analysis by Redfin indicates that demand is at its highest level since at least 2017. The M Report, a mortgage banking news source, quotes Redfin Chief Economist Daryl Fairweather as saying, “The economy is recovering strongly, and mortgage rates are still near all-time lows. Those two forces combined have caused homebuying demand to hit a record high…People who tried to buy a home in the spring are coming back for round two, only to find the market is still quite difficult because of a lack of homes for sale. A lot of homebuyers wish they had bought last year, now that it’s not just homes that are more expensive, but also gas, groceries, and dining out. Many buyers today are limited to move-in-ready homes, because it is so difficult and expensive to purchase new appliances or find contractors to make improvements.”
Realtor.com’s chief economist, Danielle Hale, says, “Whether the pandemic delayed plans or created new opportunities to make a move, Americans are poised for a whirlwind year of home buying in 2022…With more sellers expected to enter the market as buyer competition remains fierce, we anticipate strong home sales growth at a more sustainable pace than in 2021.”
Seven forecasters we respect predict prices to rise anywhere from 2.8% (The National Association of REALTORS) to 7.4% (Fannie Mae), with an average prediction of about 5% in 2022.
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Can we personalize the data for you? Every home, neighborhood and situation is unique. Call David and Tom at The Principal Team at 720-782-2468. We can help you understand the value of your home, the real estate market in your zip code and what you could earn if you sell now or in the near future.
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Trends in Metro Denver
- Home Prices
- How Long It Takes to Sell a Home
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