Denver metro home prices soar in January
The Denver Post Posted
02/10/2010 01:00:00 AM MST
Median home prices in metro Denver soared in January compared with the same month a year ago, even as sales during the same period declined, according to data released Tuesday. The median price for a single-family home was $210,000, up nearly 16 percent from $181,500 in January last year, according to an analysis of Metrolist data. The median price for a condo was $130,500, an increase of 15 percent over last year's January price of $113,000.
"Pricing is up, and this is a function of the mix and the available inventory," said Gary Bauer, an independent real-estate consultant. "The only negative thing is that we don't have a lot of inventory that the first-time buyers are looking for." The number of homes on the market declined 9.9 percent to 17,785, compared with 19,748 at the same time last year. But inventory was up 8.1 percent from the 16,456 homes listed for sale in December. "We have almost three years of declining inventory, and that is the best news," said Chris Mygatt, president and chief operating officer of Coldwell Banker Residential Brokerage.
"That is putting pressure on pricing because there's not much inventory in the lower price point." The number of homes sold in January dropped 4.7 percent to 2,353, compared with 2,469 a year ago. Sales were down 20.5 percent from 2,959 in December. "It's discouraging, but at the same time we recognize that we were so over-the-top in November because of the false ending to the (first-time-homebuyer) tax credit," Mygatt said. The $8,000 first-time-homebuyer tax credit initially was set to expire Nov. 30. Buyers rushing to take advantage of the credit pushed November sales up compared with the same month in the previous year.
The tax credit ultimately was extended through April. Mygatt said showings during the last week in January and the first week of this month were strong. "I think that people are recognizing they've got to get something under contract by the end of March," Mygatt said. "We think there will be significant activity in February and March and hope that will give us enough momentum to carry us through to our seasonal busy season."
Margaret Jackson: 303-954-1473 or mjackson@denverpost.com
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