Three-Year June Market Update
Because of the effects of COVID-19 on real estate last year, let’s look at a three-year comparison for the June housing market predictions and comparables.
The most shocking figure was the thirty-four percent rise in the Average Sales Price of a Colorado Springs home between June of 2019 and 2021. For the first time ever, the Average Sales Price exceeded $500,000 in El Paso County! Great news for homeowners. Not so much for those looking to purchase a home this year.
The number of Active Listings is down over sixty percent during that same time, driving rapid sales (seven days on market average) and increased pricing in a low-inventory selection. While the percentage of New Listings increased, so did the number of Sold properties. The results were that Buyers were offering, on average, almost one-hundred-five percent of asking price.
If no other homes were listed For Sale, all available El Paso County homes would (theoretically) be sold in less than a week! This is CRaZy – and exciting if you’re a Seller. But Buyers are starting to get tired.
This is a snapshot of what happened in June for the last three years with existing single family homes in El Paso County.
Market Comparison May 2021 to June 2021
As we headed into summer, the number of New Listings went up almost twelve percent from last month, but the number of Sales rose almost twenty-two percent. That is partially what’s contributing to the healthy Seller’s market, and also to Buyer frustration. The Average Sales Price “only” went up two-and-a-half percent during the month, and the number of Active listings sank by over six percent.
Housing Market Predictions for Upcoming Months 2021
As June comes to an end and the July market takes a breath, there is strong evidence of Buyer Burnout. There are fewer showings and fewer offers, but still the offers are usually above asking price and often with appraisal gaps. There is still lots of competition and people are continuing in bidding wars. The number of homes available is rising (good for Buyers).
Because of rising prices, Sellers (and Buyers) have more equity in their homes so people are anxious to sell. If you’d like to know what your home might Net you in a sale in today’s market, be sure to contact me. I will be happy to give you a personalized Net Equity Estimate (NEE). Call today and let my decades of experience help you make an informed decision.