The Denver Real Estate Market in June 2022
With significantly more inventory coming on the market as well as more listings not going under contract for over the asking price in week one, you may be wondering if the Denver real estate market is becoming a buyer's market—or worse, the market is in trouble.
The short answer is no. It's simply correcting and returning to a more sustainable and healthy pace.
At the end of June, there were 6,057 active listings still available for sale when looking at both detached and attached homes. That's an increase of 65.9% compared to the prior month and 94% higher than 2021. While it's certainly news, the historical average is 15,747 active listings.
Across both sectors, we also saw small increases in average price yet double-digit increases when comparing at year-over-year data.
Looking at detached single-family homes, 5,674 new listings came on the market in June, a month-over-month increase of 14.3%. Compared to May, the average sales price also increased by less than one percent and now stands at $810,415. On average, homes are selling for 103% of their asking price—last month they were going for 105.3% of asking.
And with higher interest rates, homes are taking longer to sell with days on the market averaging 10 in June.
As for attached homes, they came in at an average price of $504,193 compared to $496,157 the prior month and 15.7% more compared to 2021. These properties are averaging 9 days on the market and on average, closed for 103.4% of their asking price. In May, the average was 105.2% over asking.
This shows that despite the economic turmoil and higher rates, there's still demand from buyers who need to move, not just want to move because of low rates. Some homes are still selling quickly and for over their asking price. Others are lingering and may even require a price reduction which shows that home pricing strategy is more crucial than ever and that sellers need to realign their expectations.
You can no longer go on the market with a house that needs updates and expect to get 20 offers over asking within the first week of showings.
Your best bet is to talk with a PorchLight agent who can advise you on making a strong offer as a buyer and a smart pricing strategy as a seller. It's a very nuanced time with market pockets that are just as hot as ever, as well as neighborhoods where there's been a flood of inventory and not a lot of demand. Helping you approach the shift in the landscape is where our agents truly shine—reach out and let them assist you!
To view our report on Denver real estate market stats for June, click here.
Quick Tips for a Quick, Top-Dollar Sale
The combination of more inventory and high interest rates pricing out potential buyers means your home needs to look top-notch for open houses and showings. Plus, a typical home buyer will put all of their savings into the down payment, leaving very little money for immediate improvements.
In general, this means if a buyer is choosing between two homes similar in price, they’re likely to choose the one that’s in better condition and move-in ready. For a faster sale, use this list to present your home as well cared for and inviting.
- Make Minor Repairs. Take time to oil squeaky hinges. Fix that leaky faucet. Put a new screw in that doorknob that always comes off in your hand. Tending to small details really adds up with potential buyers.
- Consider Major Fixes. If there are any major repairs you’ve been putting off (like replacing the roof), discuss this with us. It may make sense to go ahead and take care of issues. Another good idea is painting your home— nothing sells a house like a crisp, new coat of paint.
- Eliminate Pests. One bug, dead or alive could be all it takes for a potential buyer to be grossed out and put off. If there’s a chronic pest issue, it’s always best to get it handled by the professionals.
- Spruce up the Yard. Trim bushes to below window-level. Mow and edge the grass, pull weeds from flower beds, clip tree branches, tidy up vines and consider planting colorful flowers.
- Toss the Carpet. If your carpet is outdated, stained, or just plain dingy, consider replacing it. This can provide a ton of home appeal and possibly eliminate unpleasant odors.
- Purge Ruthlessly. If you don’t need it, don’t use it, or don’t like it—get rid of it. Closets, basements, pantries and other storage spaces should be cleared out and organized to appear big and roomy with ample space for lots more stuff.
- Cut the Clutter. Take appliances off your countertops. Remove clothes from your closets (it will make them feel bigger). Organize your desk. Consider moving excess and oversized furniture into storage.
- Deep, Deep Clean. The cleaning to end all cleanings must take place before showing your home. Dust the tops of doors, vacuum every corner and baseboard, clean window sills, scrub mildew out of bathroom grout (re-grout if needed), clean the oven, wipe down the blinds—do it all.
- Shine Up the Exterior. Make the best impression from the start by cleaning exterior surfaces. Pressure washing wood, stone and vinyl surfaces remove years of grime that can make your home look older. Plus, a professional window washing will allow natural light to brighten your home.