Colorado Springs Market Update
As of Sept 1, 2017, we are in a Very Hot Seller’s Market.
Now is the time to Get the Most Amount of Money for Your Home!
Colorado Springs has ONE month of Home Inventory = Very Hot Seller’s Market
Sell Your Home Today! 719-SELL-NOW
Days On Market
⇓ 1.1 months
1.2 months last month
2.4 months last year
⇑1% from last month
⇑14% from last year
$285k last month
$265k last year
⇓ 24 avg days
Avg 22 last month
Avg 28 last year
(Updated the 7th day of every month. Metrics for all Single Family/Patio Homes in the Pikes Peak region. Data provided by Pikes Peak REALTOR® Services Corp. Absorption Rate & Inventory calculations provided by Wish Property Group, Inc®. © 2017 Wish Property Group, Inc®. All Rights Reserved)
What does our Colorado Springs Market Update really mean? It means that if no more homes were listed on the market as of today, it would take just over 30 days for all the homes currently listed to be sold.
So with very Low supply and High demand for the limited number of homes available, this has caused an increase in Home prices not only last month but over the last several years.
Call me today, Jerrod Butler @ 719-735-5669 (719-SELL-NOW), I Guarantee I will get your Home Under Contract with 29 days or I’ll buy it! My proven Marketing System gets Results, It’s Your Wish, Let’s Make It Happen!®
Broker, Owner, Realtor®
Cell 719-735-5669 (719-SELL-NOW)
Wish Property Group, Inc.
Let’s look at Last Month’s numbers:
How do we know all this? Let’s look at the numbers below, we have 1.1 months of Inventory on hand. Even though we are technically in a Seller’s market, it’s still a great time for Buyers, because prices are still fairly reasonable and interest rates are still at historic lows. Our Colorado Springs Market Update tells us that we have a great environment for Buying and Selling Homes!
As of September 1, 2017 we have an Absorption rate of 1.1 months on hand of inventory. If we were at 1.5 or lower we would be in a very Hot Seller’s market. If we were at 6 we would be in a perfectly balanced market. If we were at 7 or more we would be in a Buyer’s Market. Let’s look at the Colorado Springs Market Update numbers below.
1. Our first number is the time frame, that being 1 month, the month of August.
2. Our second number is the number of homes sold last month, that being 1658 homes sold in August.
3. Our third number is 1901 which was the number of Active listings on August 31st.
1902/1658 = 1.1 1.1 x 1 month = 1.1 months of inventory = Very Hot Seller’s Market
By using the above Absorption rate calculations we can best determine whether we are in a Buyer’s or Seller’s market. Absorption rate (Inventory) is a measurement of the rate at which a group of homes in a particular area get processed through the system. If the absorption rate is slow (higher number), that means there will be in increase in supply of homes which leads to a buyer’s market. If absorption rate is fast (lower number), that means there will be a decrease in supply of homes which leads to a seller’s market. It is really a function of supply and demand where supply is the current inventory of homes and demand is what has been sold in a given time frame. Absorption rate is the best metric to determine if we are in a buyer’s or seller’s market, however knowing average days on market, home price trend, and home sales trends are obviously good metrics to determine market conditions in your area.