Colorado’s shifting housing market and what it means for 2023

Source: Denver 7 ABC News — 

DENVER — With the new year, many Coloradans are looking at the next 12 months trying to make sense of the ever-changing real estate market in the midst of an uncertain financial picture.

This comes as things really slowed down in December.

So, what can you expect if you’re looking to make a change in your home address? Let’s take a deep-dive look at how Colorado real estate ended 2022 and what it can tell us about the months ahead.

In this 360 In-Depth Report, we’ll talk about:

What the current trends show (Data and stats)
Resources if you’re looking to stay in your current home
Where to find affordable housing
Is it a good time to sell?

Let’s start with good news in the numbers

After reaching a peak in April 2022, prices are still going down. At the end of the year, the median price statewide for a single-family home was $530,000 after hitting $600,000 in the spring. That means, homes are typically selling for a bit less than asking price.

“We compiled data from every corner of the state and the story is very, very, very similar.” said Matt Leprino, A realtor and spokesperson for Colorado Association of Realtors told Denver7.

“In the Denver Metro area, Telluride Summit, Grand Junction really anywhere that you can go – This is the fifth straight month where we are seeing prices on average closing below 100% of the asking price.”

And that means there are deals to be had.

But Leprino says surprisingly, inventory is still not that high. “It’s a great time to look. Unfortunately, with interest rates being a little bit higher, that definitely offsets monthly payments for those folks obtaining a mortgage.” said Leprino.

You’ll remember this time last year, buyers had to overpay. Since that’s not quite the case right now, paying less than asking price can help offset a good portion of the mortgage increase that comes with higher interest rates, Leprino added.