Real Estate Market Trends April 2020
Even with Sheltering in Place for the past month, the Colorado Springs housing market trends remain strong. I believe housing will remain vital as the nation seeks to recover from the COVID-19-induced recession.
We continue the trend of Colorado Springs being a Seller’s Market. Inventory is so low the average days on market is only 17 DAYS. Never in my decades in real estate do I recall it ever being that low. That is a drop of 45% from the same period last year, and a 32% drop from last month!
The consistently low inventory over the past few years has fueled our Seller’s Market. COVID-19 and the fear of being exposed further impacted the number of listings to a serious degree. From last April to this April, there was a 9% increase in listings. But from March to April of this year, there was a 38% increase in listings, incited in large part by the easing of quarantine restrictions.
This is a snapshot of what’s happening with existing single-family homes in Colorado Springs in April 2020 compared to the same month last year. Homes that were well-priced when they were listed sold for an average two percent above asking price.
Weekly COVID-19 Housing Market Trends
Here’s an even closer look at the real estate market in Colorado Springs on a weekly basis. Between April 25 and May 2, Colorado allowed a loosening of the strict no-showings policy that had been in effect in early April. Weekly stats from our local MLS as restrictions relaxed show a 62% jump in one week in new listings. There was a 50% increase in homes that went under contract from that week to the next.
There are many restraints still in place as we navigate with strict Safer at Home guidelines, but the Colorado real estate market is responding favorably to some new-found freedoms. This time of year is normally full of steady listings and sales. I believe the real estate market trends in Colorado Springs, enhanced by low interest rates, will continue to push through the bottleneck and explode in a flurry of activity in the coming months.
Even though the average sales price increased almost 16% over last year, it appears market values are not increasing foolishly as 561 people lowered their prices this past week. A good indication that while brisk, the market is not getting out of control. What I can’t figure out, however, is why 107 people thought raising their prices was a good idea.
If you have thoughts of buying or selling a home in the Colorado Springs area, call or text me. I’d love to discuss your particular situation with you.