MyTownCryer

What does one of Wall Steet’s greatest fund managers and one of the most unique TV personalities from the 70s. 80s and 90s have to do with Denver’s Residential Market? Well, I’m about to tell you but first.

One Up on Wall Street and Beating the Street, Peter Lynch made mutual fund investing understandable for everyone. His two books were very best sellers. He taught us how to walk through the mall or down mainstreet and make money. Lynch was one of Rukeyser’s most frequent guest on his TV show every Friday evening when the market was done for the week.

Louis Rukeyser’s Wall Street was a TV show on PBS. He was pretty much given free reign on guests and topics. People would rush home to eat dinner or eat dinner in front of the TV to hear the news from wall street. From this fertile ground came CNBC, Bloomberg, and the likes of Fox Business.

Both of these standouts were not afraid to share there knowledge and take the slings and arrows when the market didn’t turn in their direction.

Well folks, this is when I stitch all this together. We can do all the research, follow the trends in the marketplace, put a cherished home on the market and be wrong. A myriad of external pressures can cause a negative influence. Interest Rates, Supply & Demand, Condition, Location, Appeal, and more, can all be driven hard in a cooling market. Just like Apple Stock in today’s market. I belive we can all learn a valuable lesson from Louis and Peter. Well worth your time.

So, what happened this week in Denver’s Single Family Residential Market?

The numbers above are telling us, sellers are finally coming into the market. Well financed buyers are too. There is the often heard battle cry of “Buyers want last year’s prices and sellers want next year’s prices. Soon, this may flip if we continue to see inventory climb. So, as we watch the spring market heat up with new listings, and new buyers, one thing is for sure, this market is ready for more.

Let’s see how these weekly numbers affected the Total Active Listing Numbers.

With almost 4 months of this year behind us, let’s look at the numbers behind this chart.

With 4 months under our belts, we can see Single Family Residential Active Listing rolling right on up to new levels. With April having the biggest jump.

If we continue to have inventory move up, and contracts fall behind, we will see an oversupply market with values being negatively impacted. We will watch this very closely for you. Please don’t hesitate to lean in on us. That’s our job. You can always reach us at TheCryerTeam@Kentwood.com or TheCryerTeam.com

Peter Lynch, the renowned investor and former manager of the Magellan Fund at Fidelity Investments, is known for his insightful quotes on investing and finance. Here are some famous quotes attributed to him:

1. “Know what you own, and know why you own it.”
2. “The person that turns over the most rocks wins the game. And that’s always been my philosophy.”
3. “Invest in what you know.”
4. “In this business, if you’re good, you’re right six times out of ten. You’re never going to be right nine times out of ten.”
5. “The stock market is filled with individuals who know the price of everything, but the value of nothing.”
6. “You get recessions, you have stock market declines. If you don’t understand that’s going to happen, then you’re not ready, you won’t do well in the markets.”
7. “I’ve always said that the best time to buy stocks is when you have money.”
8. “The key to making money in stocks is not to get scared out of them.”

These quotes reflect Lynch’s investment philosophy, emphasizing the importance of knowledge, patience, and a long-term perspective in investing.

Good Morning Everyone!

Holy Moly, this has already been a Mad Month. With March Madness now extending into April, we get no relief. My Bracket was Busted by the end of the first weekend of competition, but Deirdre’s Bracket held on to 10th place in the office pool even after Duke’s fateful loss to Houston’s LJ Cryer.

Many of us have been suffering the wraith of Wall Street so far this year, but this morning the Dead Cat Bounced. This is often a signal read many ways. It’s similar in reliability to Puxatawny Phil. Be careful out there. We are being manhandled by Hedge Funds, Mutual Funds, and International Monies. It will resuscitate itself, it always does, and it always has. Great Companies always find a way. “Life finds a way.” JG

So, let’s delve into this week’s MLS Data for the Denver Metro Residential Market.

Denver Market Watch
New Listing (1758) This is the biggest week of the year so far. Buyers should be ready, their home is coming on the market.
Coming Soon (347)
Back On Market (274)
Price Increase (224)
Price Decrease (1775)
Pending (1501) Another big week here. Buyers and Sellers are finding their way to paper with signatures.
Withdrawn (144)
Leased (0)
Closed (1023) Finally, this is the first week of 2025 where the number of Closed Transactions has exceeded 1,000. Whoopee! Spring is in the air!
Expired (482)

So, I guess this is where I report, the spring selling and buying season has commenced. If your home is not selling, it is not priced competitively in comparison to the rest of the market. With 1,501 Listing going under contract last week, this is +/- 6,000 per month. We have an active, and in some neighborhoods a very vibrant market.

What’s the Chart telling us this week. It is telling us we have 7,338 Total Active Listings. Last year at this time we had 6,588. From the Under Contract Activity above, we could clear the deck in little more than 1 month. So, we have no oversupply situation. With this being said, it has never been more importatnt to price appropriately going into this market. AND, this is no time to price ahead of the market.

Anecdotally, we are witnessing External Obsolescence (Traffic), Functional Obsolescence (Floor Plan), and Deferred Maintenance (Tired Condition) being hit hard by this market. Typically, it is only economically feasible to address Condition. Recently, we have had contact with sellers taking on huge projects without consulting with us. Let us offer our advice on these projects so you get the biggest bang for your buck.

Please remember, we are here for you to lean on. Questions, Sources, and Experiences can be very valuable for you. TheCryerTeam@Kentwood.com

The question above used to be easy. It is much more complex these days. Demographics have changed. Some are becoming buyers later in life, and some are not selling, so they are staying longer. Some are committed to an urban lifestyle, and others a suburban lifestyle.

I have examined this question from all sides. Here’s what I’ve learned. Neighborhoods with a “draw” handle the swings in market conditions better than others. A draw can be anything from a coffee shop to a neighborhood pool, but the strongest communities tend to have a positive layering effect.

For example, a suburban community with a neighborhood elementary school, open space, pools, tennis courts, trails, and a well-administered HOA can survive just about any market conditions. In most scenarios, it does better than communities without these features.

On the other hand, an urban neighborhood might thrive under a completely different set of characteristics. It still needs that “draw”, but the draw might be walkability to shops, restaurants, and gathering places, if you will. In some cases, the draw might be somewhat esoteric. A nice library, unique recreational amenities like a dog park, or even a park with all sorts of outlets.

Either way, neighborhoods are defined by their residents. Like we always say, “Find your neighborhood, and then find your house. You can’t fix your community, but you can fix your house.”

We are still experiencing a market where the best and brightest move to the front of the line and become closed transactions. A seller can no longer put their home on the market with deficiencies. Buyers are critical of deferred maintenance, site characteristics, and appeal factors. These are some of the price reductions.

Now lets look at the broader market of Active Single Family Listings.

With 5,951 Active Listings right now, this is about 1,100 listings ahead of last year at the same time. This is still a nominal increase, and it will not plunge the Denver Market into the abyss. This market would enjoy a slight decrease in 30-year interest rates. Inventory would fall, and the completion would return.

Today’s wisdom: If you are a buyer, you must be vigilant, eyes open, and ears to the ground. You must have all your pre-buyer steps completed. You must be ready to give up a weekend mountain trip to the homebuyer process.

If you are a seller, get your house in order. Take it one step at a time, and complete everything on your list. Come to the market “Parade Ready”. Don’t give a buyer a reason to walk on by. Be the “A” student in the front row with no flaws.

We can help you every step of the way; thecryerteam@kentwood.com