Reporter- Denver Business Journal
Metro Denver’s residential real estate market couldn’t maintain its breakneck pace all year — and July’s sales numbers reflected that, according to a Metrolist Inc. report released Thursday.
The number of homes and condos sold last month, 4,618, dropped 6 percent from June — but still exceeded July 2011 by 20.42 percent, the report states.
“Typically June or July is the top month, and it’s typically June,” said Charles Roberts, co-owner of Your Castle Real Estate in Denver. “What we’ve seen since January is this ridiculous run-up on prices and the number sold, so this is not surprising. It was just about unsustainable.”
The average sales price also dipped slightly from June, from $297,597 to $288,884, in July. But again, that July average sales price is 7 percent higher than July 2011, the report states.
“Fall is just around the corner and we’ve hit the typical season drop off with sales 6 percent under last month,” Kirby Slunaker, Metrolist president and CEO, said in a news release. “This drop is tracking right along with 2011 figures. In addition, the number of homes that were under contract at the end of July indicates that we may see another decline in units sold next month, but this is nothing to worry about and is attributable to seasonality.”
The average days on the market also continues to drop, falling from 72 in June to 65 last month and a whopping 36 percent from July 2011.
Inventory levels, meanwhile, remain at historic lows. There were 10,827 homes and condos on the market in July, down 1 percent from June and down 38 percent from July 2011.
“It all comes down to this: There’s no inventory,” Roberts said. “If there were double the amount of homes available for sale, we’d be selling them. Until we get more, it’s hard to keep up this torrid pace.”
Dennis Huspeni covers real estate and retail for the Denver Business Journal and writes for the “Real Deals” blog.
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