Real Estate Market Trends after COVID-19
As Colorado comes out of COVID-19 lockdown, the May Housing Market Trends are not as brisk as they were in 2019. Considering what we’ve been through, however, they are showing great signs of life and coming back with enthusiasm.
Spring is usually the strongest time for the real estate market. It appears summer will be the new spring in 2020. Although houses were not being listed as briskly in May (down nine percent from last year), we still saw a thirty-three percent increase in new listings between April and May this year.
The most impressive piece of the information presented here is the average days on market. Taking into account all price ranges, homes were typically available for seventeen days! That was a drop of almost thirty percent from May of 2019.
In addition, the average sale of homes that sold, which were well priced when they went on the market, sold for 100.5% of asking price! The average sales price is up six percent to almost $395,000!
This is a snapshot of what is happening with existing single family homes in the Colorado Springs area compared to the same month last year.
Colorado Springs Housing Market 2020
The amount of homes active on the market is down almost three percent since last month. The number of sales is down ten percent in the past thirty days. But because houses are selling briskly within seventeen days of being put on the market, standing inventory is going quickly.
Sales are down almost thirty percent from last May. That is a direct reflection of the lack of showings allowed during April 2020 during the COVID-19 crisis. The housing market trends show we should see those sales numbers rise in the next few months as there becomes more freedom in showing property.
As of today (June 4, 2020) interest rates have dropped to below three percent! That’s lower than the average 4.1% in 1950! Absolutely amazing! Even though the sales price of houses is going up (due in large part to lack of inventory), an interest rate that low will buy more house for your money.
If you’d like to know more, be sure to call me with absolutely no obligation. Let’s see how this new reality might play in your favor whether you’re wanting to buy or sell a home.