May Denver Real Estate Market Update
The Denver real estate market continued its dynamic trends in May 2024, reflecting ongoing buyer interest and an increasing supply of new listings. This detailed analysis delves into the latest statistics and trends in the Denver metro area, encompassing new listings, pending sales, closed transactions, prices, and rental market dynamics.
Surge in New Listings
May 2024 saw a significant increase in new listings, with 6,779 homes entering the market. This represents a substantial 28% increase compared to May 2023 and an 11% rise from April 2024. This marks the fifth consecutive month of rising inventory, providing more options for prospective homebuyers. The influx of new listings is a positive sign for the market, offering a wider selection of homes and potentially stabilizing prices.
Robust Buyer Activity
Buyers remained active in May, executing 4,221 contracts on homes. This activity level is 4% higher than in May 2023 and 2% higher than in April 2024. Despite the increase in new listings, buyer demand kept pace, indicating a healthy market balance. The median closed price for homes was $600,000, a 2% increase from last year, highlighting the continued upward pressure on home prices.
A woman searching property listings on her computer
Fast-Moving Market
Homes in the Denver area sold quickly in May, with a median of 9 days on the market. This is three days longer than in May 2023 but the same as in April 2024. The fast turnaround time underscores the competitive nature of the market, where well-priced homes attract swift interest from buyers.
Pending Sales and Closed Transactions
The number of listings pending sale increased by 4% year-over-year and 2% month-over-month, totaling 4,221. This steady rise in pending sales points to continued market activity and future closings. The number of closed transactions in May was slightly lower than in May 2023 but 12% higher than in April 2024. This month-over-month increase aligns with the seasonal trends of the busy buying season.
Rental Market Dynamics
The rental market in Denver also exhibited significant activity in May. While the number of properties leased using REcolorado MLS was 3% lower than in May 2023, it was 7% lower than in April 2024. However, the median leased price increased by 5% year-over-year, reflecting a steady demand for rental properties. To meet this demand, 487 new rentals were added to the market in May, an 18% increase from April 2024. At the end of May, there were 523 active rental properties available, 13% more than in the previous month.
Market Activity by Price Range
The $1-2 million price range emerged as a bright spot in the Denver metro area housing market. This segment saw the largest jump in new listings, up 44% from last year. Buyer activity was also strong, with closings up 22% year-over-year. Homes in this price range spent a median of just 8 days on the market, indicating high demand and quick sales for luxury properties.
Pink water lilies at Denver Botanic Garden
Active Listings and Sales Volume
The inventory of active listings in May 2024 was 70% higher than in May 2023, with 9,029 homes available for sale in the Denver metro area. This is the first time since September 2019 that active listings have surpassed 9,000, providing more options for buyers and potentially easing price pressures. The gross sales volume in May was 3% higher than in May 2023, reflecting robust market activity and a healthy level of transactions.
Summary
May 2024 was a month of significant growth and activity in the Denver real estate market. The increase in new listings and the steady pace of buyer activity suggest a balanced and competitive market. Homes are selling quickly, prices are rising, and the rental market remains strong, indicating a vibrant and dynamic real estate landscape.
For those looking to navigate the Denver real estate market, whether buying, selling, or renting, staying informed and agile is crucial. The latest trends and statistics highlight the importance of timely and strategic decisions in a fast-moving market.
Make Living in Denver a Reality
The Denver real estate market offers numerous opportunities for buyers, sellers, and renters alike. With increasing inventory and strong buyer demand, now is an ideal time to explore your options. Contact Iron Works Realty to make living in Denver a reality. Reach out today via our contact page and let our experienced team guide you through the process of finding your perfect home or investment property in the Denver metro area.
