The average price of a home in metro Denver rose 9.8 percent in May to $449,736, including homes of all kinds, according to the Denver Metro Association of Realtors’ latest market trends report.
Detached single-family houses sold for an average of $490,700 in May, while attached homes such as condos went for an average of $317,082.
Overall, the market experienced a much-needed increase in inventory that was due in part to the beginning of the spring selling season.
“Housing numbers seasonally surge this time of year and 2017 is no different. We experienced robust gains in active listings, new listings under contracts and sales volume,” said Steve Danyliw, chairman of DMAR’s market trends committee.
Active listings for homes of all types increased by 7.9 percent to 5,895 in May, and part of that increase was driven by an increase in condo inventory.
But, in market that has repeatedly set new low-inventory records in recent months, a marked increase in active listings in one month is not enough to fix the problem.
“Inventory continues to be a significant concern, specifically in the lower price ranges,” Danyliw said. “Of the available listings, only 41 percent are priced below $500,000. Buyers should expect continued competition as this price range accounts for 74 percent of all sales.”
Active condo listings increased by 16.7 percent year-over-year, compared with a 5.6 percent increase in active listings of detached homes. Condos priced below $300,000, though, remain difficult to find. Of the 1,335 active condo listings in May, 385, or 28 percent, were priced below that threshold.
Detached single-family houses experienced the same trend, with 180 active listings, or 3.8 percent of the total 4,560 on the market, selling for at or below $300,000. The inventory picture is slightly better at $400,000 and below, with 742, or 16 percent of the total, in that price range.
The number of homes sold in May increased only slightly, rising 1.9 percent to 5,320 from one year ago.