By David Schlichter
Buyers should be prepared to write offers on more than one property due to the significant imbalance between the amount of buyer demand and the number of homes for sale. As we've seen with our clients, though, persistence definitely pays off for those who are willing to stick with it!
In the last 30 days, condos that closed in Denver County were on the market for an average of 29 days compared to 11 days for the average detached single family home--yet both property types experienced a median of just 4 days on market over the same period. The pandemic reduced demand for condos as people sought less person-to-person contact and more space to be able to work from home. As offices return to in-person work and as pandemic fears recede, though, we expect demand for central Denver condos to continue to rise.
Recently a client of another Compass agent we know offered $1 million above the asking price on a $2.1 million property with a closing date just 2 business days later and no contingencies whatsoever. Incredibly, even with those terms, the offer was almost not accepted! The offer did eventually get accepted, though, and the deal did, in fact, close for $1 million above the asking price just two business days later.
In the last 30 days, properties in Denver, Douglas, Adams, Arapahoe, Jefferson, and Broomfield counties closed for an average of 5.43% (or about $30,000) above the asking price. Some sellers are pricing their homes in line with the comparable sales, while others are "reaching for the stars" and listing their properties significantly above what the comps say the house is actually worth. As a buyer, you deserve an agent who can tell the difference between the two. As a seller, you should know that those who price their properties in line with the comps usually experience the best outcomes.
We are operating in the midst of a global pandemic, an unbelievably tragic war in Ukraine, rapid inflation, record low inventory, rapidly rising home prices, rapidly rising interest rates, and significant stock market volatility. Market conditions can change in the blink of an eye. You deserve an expert who can help you successfully navigate these unprecedented and rapidly changing market conditions to ensure that your goals are achieved.