Spring is in full swing here in Boulder County, with green grass and beautiful flowers all around. It’s the perfect time to talk real estate, but let’s be honest, things aren’t exactly hitting their peak right now.
Sales have been a bit sluggish lately, falling behind the numbers we’ve seen in previous years. Ever since interest rates went up last fall, the market has been feeling the impact. And guess what? It’s led to a rise in inventory. But here’s the thing: it’s mostly because the sales rate has slowed down, not because there’s a flood of new listings. The number of new properties hitting the market has been on the lower side compared to the past five years.
Okay, let’s talk prices. They’re holding up pretty well on average. Month after month, we’re seeing prices that fall somewhere between what we had in 2021 and 2022. But as inventory rises it’s taking longer for houses to sell. In May, it took an average of 31 days for a house to go under contract, which is way longer than the crazy low 9 days we had last year. Sellers are starting to realize there’s some stiff competition out there, especially in the higher price ranges. So, we’re seeing more sellers dropping their prices to attract buyers.
Despite the challenges, there are still opportunities for both buyers and sellers in this market. Buyers can take advantage of the larger inventory and try to make better deals. And sellers, well, you might want to consider pricing competitively right from the beginning and being open to making some price adjustments to entice the buyers who are out shopping.
The market in Boulder County below $1 million is very strong. The table below shows that there is just 3.1 months of inventory (6 months is a balanced market) and 44% of the current listings are under contract. But as the prices increase the market becomes softer. Above $2,000,000 less than 14% of the listings are under contract and the inventory is starting to point towards a buyers market. For more detailed statistics, see the slide deck below.
Total Listings |
Under Contract % |
Months of Inventory |
|
| Up to $1 million | 811 | 44% | 3.1 |
| $1 to $2 million | 292 | 30% | 4.1 |
| $2 to $3 million | 120 | 14% | 7.7 |
| $3 to $4 million | 44 | 9% | 8.3 |
| $4 million and above | 48 | 13% | 16 |
