It’s not your job to pay attention to MLS statistics, but it is mine. In May, there were still an incredibly low amount of homes on the market. In fact, according to Metrolist, there were only 17,000+ single family homes and condominiums on the market. Again, it’s worth repeating how low that is for this time of year. If this were February, that would not surprise me, but since it is June, I am shocked. We should see around 22 or 23 thousand single-family homes and condos on the market about now. So, what’s going on? What does this mean for buyers?
1) In most cases, I believe those people that had to sell already have. The rest have decided to stay off the market until conditions improve (BTW conditions have improved).
2) We have not seen the massive influx of foreclosures come on the market that everyone had been predicting. One can speculate that the whole foreclosure paperwork debacle at the end of last year may have held up properties from coming on the market.
3) Some people are getting mortgage relief and are figuring outways to stay in their homes or their personal situation has gotten better and maybe, they can afford to stay there now.
So what does this mean for buyers? First, it means less selection. Less selection means prices either remain stable or go up. Second, it means that buyers cannot delay in making decisions. Over the past three years there was absolutely no hurry to buy because chances are, the buyer’s favorite house wasn’t going to sell anytime soon. That has changed and we are seeing less and less days on market in most neighborhoods.
In summary, buyers need to be prepared this summer and in many cases, if they find the house they like, they need to pull the trigger right away. I have been involved in more than my fair share of bidding wars this summer. In fact, my buyers have had to compete for listings more this year than anytime in the last four.
Click here to Get started searching for YOUR Colorado Dream Home.