The Denver Real Estate Market Has Bargains to Offer

The Denver real estate market has typically occupied a middle ground between the soaring home prices on the coasts and the great bargains to be found in the south and southeast of the U.S.  For many years, buying a home in Denver meant certain equity growth and an abundance of willing buyers when you were ready to sell. However, sales of existing homes in Metro Denver lost strength in both 2005 and 2006 after hitting a record high in 2004 (source: Metro Denver Economic Development Corporation).  While home values around the country have stagnated, the Denver metropolitan area continues to hold its place in the middle of the national real estate price spectrum. 

According to the Metro Denver Economic Development Corporation, the median price of an existing single-family home in Metro Denver increased just 2% in 2006 compared to the national average increase of nearly 4%. Also, the gap between Metro Denver and national median home prices is closing, primarily as a result of slow home price appreciation in this area. MDEDC concludes that the median home price in Metro Denver (approximately $252,000) means that the region’s housing stock is now more affordable than other competitive markets.  And, there’s more good news for Denver home sellers.  According to HousingTracker.net, the Median Home Price in Denver has risen 2% in the past 9 months, and the existing housing inventory has decreased by more than 18%.

Despite adverse economic conditions, Denver median home values have continued to increase each year.  Real estate investment in Denver continues to be a good value.  Certain segments of the Denver real estate market, notably new construction, offer particularly beneficial conditions for home buyers looking to make a wise investment.  Also, after a very challenging winter for the Denver real estate market, things are already to start looking up.  According to the Denver Post, both median home values and the number of sales rose from February to March 2007. 

Buyers in Denver are still experiencing very beneficial market conditions, but these conditions likely will not last.  In order to take advantage of current low prices and high inventory, buyers and investors should start seeking Denver properties as soon as possible.  For expert assistance in finding Denver real estate bargains, contact Wendy or visit our Denver Real Estate website.