Novem­ber no merry month for home sales

The Denver Post - - BUSINESS - By Aldo Svaldi

Metro Den­ver’s hous­ing mar­ket looked like it had re­gained its foot­ing in Oc­to­ber af­ter stum­bling in Septem­ber. But last month, home sales hit an­other icy patch, ac­cord­ing to the monthly mar­ket trends re­port from the Den­ver Metro As­so­ci­a­tion of Real­tors.

There were 2,628 sin­gle-fam­ily homes sold in metro Den­ver last month, a de­cline of 17.6 per­cent from Oc­to­ber and 23.9 per­cent be­low Novem­ber 2017. The num­ber of con­dos sold came in at 1,104, a de­cline of 16.6 per­cent month-over-month and 22.9 per­cent from year­ago lev­els.

Un­like Septem­ber, when sales fell and in­ven­to­ries rose, fewer homes were listed on the mar­ket, a sign that sell­ers may be pulling away as well as buy­ers, who are cop­ing with higher mort­gage rates that have re­duced what they can af­ford.

Novem­ber and De­cem­ber can be tricky months to fig­ure out. In Novem­ber of 2017, home and condo sales were down about 13.5 per­cent and the sup­ply of list­ings dropped 18.7 per­cent in metro Den­ver.

Sell­ers tend to pull back around the hol­i­days, and they are def­i­nitely do­ing so this year.

Added to the mix this year is a much more volatile stock mar­ket, which might be sig­nal­ing slower eco­nomic growth in the months ahead.

The in­ven­tory of homes and con­dos avail­able for sale at the end of Novem­ber dropped 11.8 per­cent from the count at the end of Oc­to­ber to 7,530. Com­pared with Novem­ber of last year, the in­ven­tory is up a big 46.7 per­cent.

The me­dian price of a sin­gle-fam­ily home sold in Novem­ber dropped 1.82 per­cent to $427,000 over the month, but re­mains up 4.9 per­cent over the year. The me­dian price of a condo sold in Novem­ber was $299,450, up 0.15 per­cent from Oc­to­ber and up 9.71 per­cent from Novem­ber of 2017.

“I think ev­ery­one agreed that the down­ward shift in the mar­ket that started midyear con­tin­ued in Novem­ber,” Jill Schafer, chair of the DMAR mar­ket trends com­mit­tee, said in the re­port.

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