Denver Market Watch with 2020 Vision 11/17/2020 #DollyParton

Did you know? I didn’t. #DollyParton established a fund at Vanderbilt University that ultimately helped Moderna create their Covid vaccine. Pretty cool. The little and big things we do can have lasting affects, and make real differences. Who doesn’t have some kind of story like this during the time of C-19.

The election, Covid, unrest and working from home all seem to be contributing in some fashion to Denver’s residential real estate market. Week after week, after week, we continue to see supply and demand numbers like we’ve never seen before. Under contracts at atypical season highs. Closings reflecting late spring and early summer ranges, and listing numbers typical of a Christmas, New Year’s week. It is simply mind boggling.

I started working with MLS numbers in the mid 1970s for my brother’s appraisal company. It was common to run at about 2-2.5 Listings for every closing. Occasionally, it would hit 1.5 active listings for every closing 1977-1980. BUT, in this market, we have been under 1 new listing for every closing and it has really been quite stressful on the entire market. Buyers get angry. Sellers get confused. Brokers struggle to price accordingly. And appraisers, well let’s just say, they are earning their keep.

Let’s look at this week’s numbers from ReColorado.com.

New Listing (849). Not enough inventory. Buyers are frustrated!
Coming Soon (100)
Back On Market (232)
Price Increase (253)
Price Decrease (637)
Pending (1541). This is a midseason strong number!
Withdrawn (213)
Leased (70)
Closed (1508). Once again, this is a mid-season number!
Expired (226)
11/17/2020

As we take a look at these numbers each and every week, it is tough to understand the their meaning. So, let’s take a look at the market through our eyes, anecdotally. Dee and I field phone calls on a daily basis. The calls have become routinely, “We live in California, and we need to move to Denver because, We like Denver, Our grandchildren are there, it’s not as crowded, I can work from home anywhere, why not Denver, and last but not least, It is easier to run my business in Colorado.” The household goods movers continue to tell us trucks arrive in Colorado full, but have to reposition to their next pickup empty. Let’s be thankful for all this activity in Denver. With all the frustration that comes along with a “tight” market, this is so much better than 2008-2012. Back then we suffered with close to 30,000 active listings. Today, we struggle with slightly more than 4,000 active listings in an even larger, more populous geographic area.

The Realtors carry a heavy load. They provide the data that “makes the market understandable”. Zillow doesn’t work without our input. OpenDoor can’t buy your house without the data we submit to the syndicator. By being in the market every single day, we accumulate volumes of anecdotal information which becomes invaluable to the next participant in our sphere. Please don’t underestimate the Realtors’ value. And, please don’t underestimate how we can differentiate ourselves with the depth and quality of market knowledge and service.

The successes we have logged this year all share a cooperative partner seeking a well executed plan, a defined timeline, and the desire for change. We can assist you with the same kind of professional service. We would be honored to be your trusted advisor. Let’s discuss your plan of action today!

Dee and Tom Cryer TheCryerTeam@Kentwood.com 303-773-3399

About Tom & Dee Cryer

Your Friends in the Homeownership Business!
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