Another busy month in the real estate market. Inventory increased this month, but it is still 20% below last year and not anywhere near meeting the demand. In March 73% of all sales in Boulder County sold for a price in excess of the list price (up from 61% in February and 48% in January). The average sale price for all properties sold during the month was 7.3% above the listing price. When a property sold for above list price then the average sale was 11% above the list price. Astonishingly, 20% of all sales sold for 15% or more above the listing price. The highest premium paid was 42% above the list price. What all of this leads to is super-charged price appreciation and buyers scratching their heads. I’m seeing more and more buyers removing contingencies on their offers. Waiving the opportunity to object to a low appraisal has become commonplace. We are seeing buyers waive inspections altogether and waiving the opportunity to terminate in the case of their loan being denied. Basically they are taking a risk and putting their earnest money at risk early in the process. Despite all of the demand, sales actually decreased by 21% from March of last year.
