Colorado Springs Market Changes between March 2020 and March 2021
Colorado Springs Housing Market Predictions from March 2021 continue to show a dramatic change from the same time last year. Even as we started into the year of COVID-19, the market was hot and showed no signs of slowing down. That continues to be the case as we begin the Spring season of 2021.
Active listings between March 2020 and March 2021 are down almost 70%. In large part that’s because Sellers can sell their home for record high prices. The problem is finding a replacement home is close to impossible. The days on market of most homes in El Paso County are only ten, down 60% from last year’s low twenty-five days on market.
There are only nine days of inventory. What that means is that if no other houses were listed, we would have no homes to sell in only nine days! And when they are listed, they are selling, on average, 3.4% above asking price. That is for homes that are priced reasonably when they are put on the market.
I can’t emphasize enough that overpriced houses are still not welcome, even in this crazy market. More and more I’m seeing listings where the price has been lowered because a Seller got ambitious thinking any price will do. Our MLS is even putting a big arrow on houses where the sales price was less than the asking price. If you need to sell, now is the time. But don’t be greedy. You’ll get your asking price and more if you price it right to begin with.
The average sales price is up 19% from the same time last year. The following is a snapshot of what is currently happening in El Paso county for single family homes compared to this time last year.
Colorado Springs Housing Market Bubble
Is Colorado Springs in a housing bubble? My professional opinion is that this market is not going away any time soon. Unlike the crash of 2008, many homeowners now have substantial equity. There are a lot of cash buyers, beating out people with loans. But when the cash segment of the buyer pool has been satisfied, there will still be a high demand for houses from those who need a loan to purchase.
My Colorado Springs housing market predictions are that the market will continue to be hot. Prices will continue to rise. Demand will continue to be high as more and more people work from home. And people still have a “mentality of scarcity” which will keep the bidding front and center.
In just the past month, sales are up 43%, even with a scarcity of listings. With an increase of only 24% of new listings, it’s easy to see why most homes have multiple offers. I have had ten to twenty-five offers on my listings, which I’m sure is standard in this market.
If you need an experienced agent to help you navigate these churning real estate waters, be sure to contact me. There’s no obligation to discuss your particular situation and see how much you might make if you decide to list your home in the near future.