How long can Denver’s hot housing market last? Steve Danyliw, chairman of the Denver Metro Association of Realtors’ Market Trends Committee, thinks the answer might lie in the number of distressed sales.
Quick reminder, distressed sales refer to sales of homes in poor condition and foreclosures.
“In November of 2010, 33.5 percent of sold properties were distressed sales … compared to 0.3 percent this November. We would be hard pressed to go any lower,” Danyliw wrote in DMAR’s December report.
However, Notice of Election and Demand filings, the document that starts the foreclosure process, have risen for the first time since 2009, DMAR notes.
Even a small increase in that number would still leave Denver with very few though. National reports from Clear Capital have Denver tied for the fewest distressed sales.
Meanwhile, nearly every other measure of residential home sales in November has risen when compared to this time last year.
In fact, the only measure that has decreased compared to last year is the number of active listings, which decreased 2.08 percent. That’s a reflection of the long-standing observation that Denver doesn’t have enough inventory to service the demand.
So as of November, the median sale price of a home in Denver is at $350,000. Good luck to you homebuyers out there.