Q2 Madison Report | 2016 Real Estate Market Update by Madison & Company Properties

MADISON

Report Q2 2016 Real Estate Market Update

Q2 quarter 2 real estate market recap 2016 These stats are based on the following 11 Counties: Adams, Arapahoe, Boulder, Broomfield, Clear Creek, Denver, Douglas, Elbert, Gilpin, Jefferson and Park County Welcome to the second half of 2016, a year sure to be remembered for its fast pace, dramatically increasing pricing and multiple offers on nearly all transactions. Statistically, 2016 has been remarkable as homes on the market hit a new record low for the month of May at 5,463 active listings. The average number of active listings in the month of May is 16,981, while the record high was 30,457 in 2006 and the record low was 5,657 in 2015. Just one month later, things shifted dramatically as there were 7,615 new listings to hit the market, a 12.17% increase compared to the month prior, creating a 9.67% increase year over year. 5,587 homes were placed under contract (-4.61%), 5,324 homes sold and closed (+2.94 %) and 6,796 active listings remained on the market for buyers to consider. While this is typically a time when inventory grows until its peak in August and September, this was a rather large jump for the market in one month.

feeling some pressure to act fast as the average days on market closed the month at 26, compared to 31 in May. With continued inventory issues, increased demand and historically low interest rates (thank you Brexit) the rest of the year appears to be a continuation of the hot year we have had so far. While it may be daunting to some, others are finding opportunity in most market segments and buyers and sellers are having success accomplishing their goals. It is a true professionals market as many deals are closing mainly because of the hard work of Realtors and lenders as transactions are more complex than ever. Our advice; have clear goals, partner with the best professionals and be ready to pounceâ&#x20AC;ŚDenver is still the place to be. - Justin Knoll President, Madison & Company

Average and median sold home prices edged up again from the previous month with appreciation gains of 2.77% to $421,266 and 1.39% to $365,000 respectively. Buyers are madison quarter 2 report

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Indicators

quarter

Economic h

6.1%

apartment vacancy rate YTD average up 1.2 percentage points from last year

h 3.2%

unemployment Down from YTD average of 4.1%

7.21%

dia passengers Passengers have increased 6% YTD

sales volume

The total sales volume YTD is up 7.21% with $10.17 billion

median home price denver-aurora msa YTD price is 9.1% higher, showing an increase up to $369,000.

* Source: MetroDenver Economic Development Corporation, Denver Metro Association of REALTORSÂŽ

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Residential - Detached, Single Family

quarter

11 County Denver Metro Real Estate Stats

April | May | June Residential Detached, Single Family APR MAY JUN ACTIVE LISTINGS

YTD 2016 5,453 YTD 2015 5,031 YTD 2014 6,287

AVERAGE Days on Market

MEDIAN Sold Price

$385,000 $398,000 $396,000

TOTAL Active Homes

4,100

4,319

5,453

TOTAL Sold Homes

3,071

3,500

3,951

Average Sales Price

$440,879 Year To Date

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Residential - Attached, Condominium

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11 County Denver Metro Real Estate Stats

April | May | June Residential Attached, Condominium APR MAY JUN ACTIVE LISTINGS

YTD 2016 1,343

AVERAGE Days on Market

YTD 2015 1,166

MEDIAN Sold Price

$240,000 $245,000 $246,000

YTD 2014 1,504

TOTAL Active Homes

1,121

1,144

1,343

TOTAL Sold Homes

1,240

1,361

1,373

Average Sales Price

$287,330 Year To Date

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madison

Single Family - Detached | 11 County Overview Active

7,000

New Listings

Under Contract

Sold

6,000 5,000 4,000 3,000 2,000 1,000

Jun, ‘15

Jul, ‘15,

Aug, ‘15,

Sept, ‘15

Oct, ‘15

Nov, ‘15

Dec, ‘15

Jan, ‘16

Feb, ‘16

Mar, ‘16 Apr, ‘16

Single Family - Attached | 11 County Overview

Active

New Listings

Feb, ‘16

Mar, ‘16

May, ‘16

Jun, ‘16

Under Contract

Sold

2,000 1,800 1,600 1,400 1,200 1,000 800 600 400 200 Jun, ‘15

Jul, ‘15

Aug, ‘15

Sept, ‘15

Oct, ‘15

Nov, ‘15

Dec, ‘15

Jan, ‘16

Apr, ‘16

May, ‘16

Jun, ‘16

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madison Days on the Market | Single Family vs Condo 55

Single Family

Condo

45 40 35 30 25 20 15 10 Jun, ‘15

Jul, ‘15

Aug, ‘15 Sept, ‘15

Oct, ‘15

Nov, ‘15

Dec, ‘15

Jan, ‘16

Feb, ‘16

Mar, ‘16

Apr, ‘16

May, ‘16

Jun, ‘16

Residential | Average Sold vs. Median Sold Price Average Sold

Median Sold

$450,000 $400,000 $350,000 $300,000 $250,000 $200,000 $150,000 $100,000 Jun, ‘15

Jul, ‘15

Aug, ‘15

Sept, ‘15

Oct, ‘15

Nov, ‘15

Dec, ‘15

Jan, ‘16

Feb, ‘16

Mar, ‘16

Apr, ‘16

May, ‘16

June ‘16

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Month End Active Listings vs Month End Sold Listings

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p o T 10

Things your Realtor® wishes you knew when buying or selling a home...

1. Price to sell quickly. The longer a home is on the market, the less likely it is to get a good or fair price. It is prudent to list a home at a price that is in line with the current market trends and to get it off the market as quickly as possible. 2. Don’t take out new loans or credit cards. Your credit score is lowered when you open a new credit card or take out a loan, which will mess up the loan process and could result in a delayed or cancelled closing. Wait until the deal is closed on your new home before taking out new loans or increasing your credit card usage.

6. Yes, you do need a Realtor®! Realtors® adhere to a strict code of ethics. They are experts in the market and will look after YOUR best interest. They’re expert negotiators, and will walk with you through the entire home buying or selling process. 7. Pricing a home too high never works. Potential buyers will be deterred by the overpriced home and the listing will sit on the market too long. Price reductions can be the kiss of death as you try to catch up to the market.

3. Selling and buying take time. Don’t expect it to happen overnight, and be ready to put time and dedication into the process. Take the proper steps, like talking to your landlord about your leasing terms if you are renting.

8. You can’t rush buying a home. Purchasing a home is a huge life decision and investment. Take your time, carefully consider everything, and use an expert Realtor® to help you find and invest in the right home for you.

4. Get pre-approved. Before beginning the buying process, apply for loans and get verified by the bank. Any seller will want to know you are not just ready emotionally to buy their home but you are financially ready as well.

9. Don’t take low offers personally. It’ll be okay. Just cry with your Realtor® and move on, higher offers will come. The best offer will present itself and you need to be ready when it does. Emotions limit that ability.

5. Leave a good impression. First impressions are everything! When selling a home, be sure to present a clean home that smells good, is a comfortable temperature, and has attractive and appealing decor. Snacks are an added bonus!

10. Don’t look at homes you can’t afford. Look at homes that fall within your price range. Looking at homes you can’t afford will only lead to disappointment.

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d o o h r o b h eig

Highlights

We know, we know, Denver being simply the greatest city isn’t new news! Recently rated one of the top cities to move to, with new developments and projects all over the city, and new and unique restaurants, bars, and coffee shops springing up left and right, Denver doesn’t have to try very hard to prove itself. This incredible city is filled with a myriad of diverse neighborhoods, each showcasing their own unique style. New developments and freshly-opened places to eat and drink grace these neighborhoods. Never fear, we have selected a few of our favorites and some that are still affordable to live in... yes, you heard us, affordable!

Barnum X

Littleton X

Boundaries: Sixth Avenue (north), Federal Boulevard (east), Alameda (south), and Perry Street (west)

Boundaries: Belleview (north), 470 (south)

Median Price: $230,841

Median Price: $346,944

Lightrail Location: Sherdian, Knox, & Perry

Lightrail Location: Mineral Station

A quiet neighborhood where parks and recreational space abound, Barnum is out-ofthe-way, but easily accessible. Near Federal Boulevard, it offers endless options for eating out. With Vietnamese, Cajun, Mexican, Chinese, Thai, and more, the restaurants in Barnum truly reflect the beauty and opportunity of the neighborhood’s diverse demographic. Barnum was established in the late 1800s and named after its founder – P.T. Barnum of the Barnum and Bailey Circus!

This historic suburb is one of Denver’s most vibrant. With classic homes and a communal feeling to the neighborhood, Littleton is a familyfriendly place to call home. Downtown Littleton has something for everyone, with a plethora of delicious restaurants, unique coffee shops, and stellar bars. Art galleries, music performances, and more add to this sweet neighborhood with something for everyone.

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RiNo X

Ruby Hill X

Boundaries: I-70 (north), Lawrence (east) Park Avenue West (south), I-25 (west)

Boundaries: Mississippi (north), S. Platte (east), Jewell (south), and Federal (west)

Median Price: $353,383

Median Price: $249,172

Lightrail Location: 30th & Downing

Lightrail Location: Broadway

This iconic arts district is filled with galleries, artists, and creative expression galore. It’s a hub for creative businesses and innovative eateries, like The Source and Infinite Monkey Theorum, an urban winery. This robust urban neighborhood reflects its artistic residents, with creative architecture and colorful murals and graffiti covering walls and alleyways. Full of row homes and condos this is home to those that thrive on urban living!

One of Denver’s most bike-friendly areas, Ruby Hill is every biker’s dream, with trails and bike lanes galore. Easily accessible through public transportation, Ruby Hill is a family-friendly area, with a plethora of parks and open spaces. In 2017 an outdoor music venue is set to open, the amphitheater will feature summer concert series and can house around 7,500 people. Becoming more and more popular by its location this is also an area that first-time home buyers flock to for it’s affordability.

Sunnyside

Boundaries: I-70 (north), I-25 (east), 32nd (south), and Federal (west) Median Price: $394,435 Lightrail Location: 41st & Fox A quiet neighborhood with more family homes, ideal for a Highlands lifestyle with the softness of a suburb. Sunnyside is a mixture of smaller, more affordable homes with larger lots and bigger spaces. Parks, Downtown, coffee shops, and more are all within walking distance. A typical warm Denver day will see kids playing outside where community gatherings abound.

*Median prices were from the last 12 months.

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Madison & Company Properties | www.madisonprops.com | 303.771.3850 ÂŠ2016 Madison & Company Properties, LLC. Madison & Company Properties is a registered trademark licensed to Madison & Company Properties, LLC. Locally owned and operated. An equal opportunity company. All information deemed reliable but not guaranteed. If you have a brokerage relationship with another agency, this is not intended as a solicitation. *All neighborhood data was from ReColorado, 5280.com, rtd-denver.com, and neighborhood websites.