Buyers - if you are flexible enough to make a move before the end of January, and you have been waiting to score a deal - there are opportunities to be had!
Favorable Interest Rates: This holiday season, the real estate market is quietly presenting the gift of lower interest rates. Rates have significantly dropped from a few months ago, creating prime opportunity for buyers to gain access to a more affordable mortgage. If you are rate sensitive, this can significantly impact the overall cost of homeownership. This time of year, there are less buyers looking, which means less compeition, and getting a great deal negotiated is in your favor.
Increased Inventory: The Denver market currently has 2.5 months of inventory available, this means there are more homes to choose from. Buyers can take a bit more time when looking at homes, check out different properties and neighborhoods before making a decision. In many cases, you can look at a home multiple times without feeling the pressure of other potential offers coming in.
Seller Concessions: We are seeing sellers offering consessions to help buyers buy down interest rates, or cover closing costs. I have succesfully negotiated this for all of my deals this year. It is likely we will see less negotiating during the Spring Market if interest rates contintue to drop, or hold steady. The market is currelty more buyer-friendly than it has been due to seasonality, inventory, and movement of interest rates.
Sellers - be patient, plan accordingly, and develop a solid strategy.
Sellers, wait to list your home until after the Holidays: Once we approach late January and early February, we see a shift in the market that is in favor for sellers. Due to seasonality in Colorado, sellers tend to list their homes during the Spring, and Buyers tend to shop heavily before summer vacation and the end of school year. You can imagine, with more buyers shopping, inventory sells quicker, and we see fierce competion. This was the case last Spring, and is very typical. It is possible to strategically list your home at the best price during the Spring market.
If you are thinking about buying or selling real estate in Denver or surrounding municiplaties, reach out to me so I can help you best prepare.