It’s March and for me that means: March Madness, the beginning daylight savings time, improving weather and the beginning of the spring real estate season. Two of the above can be set to a positive date in advance. The other two are a bit nebulous. The weather is improving and beginning March 1st it felt like a good idea to be spending more time outside. This is of course subject to change.
The spring real estate season. Now that is a moving target. Last year it didn’t start until May. This year it started heating up in February. Through the years I have learned to swim on top of the waves rather than try to stop them. My thought is that you work hard in all seasons, knowing that some will yield more fruit than others.
This year we have the tax credit expiring at the end of April which has brought an interesting dynamic to the market. First time buyers are out in droves. But is the rally limited to properties in the entry-level? The chart below shows the percentage of homes which are under contract across different price ranges. The properties represented are both single family and attached homes in Boulder County.
The kelly green bars (it is St. Patricks Day) show the data as of today. Comparing today’s market to a number of dates last year we are looking good. Improvement in almost every price range is the rule. On average 15% of properties are under contract. The range is from 6% for properties priced over $1,750,000 to 28% for properties priced less than $250,000. While there is not as much activity in the upper price ranges, better activity is being seen across all price ranges.