Is Inventory Increasing for Denver Condo?
According to the Denver Metro Association of Realtors, in June 2021 homebuyers of attached homes had more choices with 2,163 new listings hitting the market up from May’s 1,774. However, even with more options, sellers in this market still had the upper hand, with pending sales at an almost identical number month-over-month (1,894 in May and 1,896 in June). Denver Metro had 47.65 percent fewer attached homes for sale in June 2021 compared to June 2020.
In short, Denver Metro saw a bump in short-term numbers of inventory but if you look at years past, we are still experiencing a major inventory shortage.
Denver Metro saw a bump in short-term numbers of inventory but if you look at years past, we are still experiencing a major inventory shortage.
Downtown Denver | 80202 Stats (Via REcolorado):
- The median days on market for 80202 in Q2 2021 was 16 down from 32 the year prior
- The median close price for 80202 in Q2 2021 was $555,500, down from $561,500 the year prior
- The average close price for 80202 in Q2 2021 was $774,826, up from $603,432 the year prior
- In Q2 of 2021, 80202 saw 202 homes sell up from just 50 the year prior
- Year to date, 351 homes in the 80202 zip code have sold compared to last year’s 172
Is Now Still a Good Time to Sell My Condo?
It is still an incredible time to sell. Why do we say this?
- Condo buyers are still paying over the asking price: On average, people buying attached homes paid 104.08 percent of the list price in June, up 4.74 percent year-to-date.
- Buyers are Incredibly Active Right Now: Downtown buyers are much more active in 2021 compared to last year. In Q2 of 2021, 80202 saw 202 homes sell up from just 50 the year prior. This would indicate that the COVID slump for the urban core has faded and buyers are ready to get back into downtown homes.
- But it Won’t Last Forever: The attached home market’s number of closed sales is up 8.02 percent year-over-year while pending sales are down 9.41 percent year-over-year. This drop in the number of pending homes may be an indication of a seasonal cooling up ahead so sellers on the fence may want to consider acting quickly.
What are the Top 3 Tips for Condo Sellers?
#1: Implement a smart pricing strategy
The best thing a seller can do to obtain a great offer may seem counterintuitive: do not overprice the home. One of the main fears we hear from home buyers is overpaying so you do not want to play into the fear by pricing above what the market indicates. Today’s buyers are much savvier, having access to online real estate resources, and most people will take the time to research homes that have recently sold in the area.
Your real estate agent will collect data on comparable sales in the area as well as homes that have similar floor plans, amenities, square footage, and lot size. An accurate picture includes homes that have sold in the last three months. The information will contain the original asking price, if the price dropped and whether the buyer paid above the asking price.
If you do end up pricing your home above what has been the average price of a similar home in the neighborhood, be prepared to justify the price tag, whether in the ensuing negotiations or through the property description and highlights. Also, have a game plan on if and when you’ll lower the price. Will it happen 7 days after the listing, 14 days? Having several scenarios in place helps keep the process moving and will eliminate any unnecessary frustration by the seller and realtor.
#2: Hire a professional stager
If you can afford professional home staging, it can be worth its weight in gold. It will save you time and help you create a vibe that you probably couldn’t achieve on your own. Home stagers know not only what looks good from a design standpoint but what helps a home sell for top dollar. Your Usaj Realty broker can recommend a tried and true staging company that will make your home look fantastic for photos and showings. This will impress buyers and help create demand for your property.
#3: Understand how to compare offers
Understanding what terms to look for and how they affect your bottom line is crucial to getting you top dollar. As your real estate brokerage, it is our job to assist you in obtaining the most optimal terms possible and we make it a priority to both understand what you want and then help find a buyer who can offer the terms that you desire.
At face value, one offer may look like it adds more to your bottom line, but term conditions like escalation clauses and appraisal gaps that require counter offers can often affect what your take-home number is. Communication and organization from your Realtor is a crucial component and helps make the process so much more seamless when the offers start rolling in. Before you even get your first offer your Usaj Realty broker will explain what each term and condition means and how they affect each other.
Ready to talk about selling your Denver condo? Let’s get something on the books!
