Media housing hysteria – or simply a normalizing market?

Investors take note.   Nationally, the supply of unsold homes is rising.  The first-time home buyer and the traditional home sale/move cycle are still in interest rate denial.  The gap now between approximately 2 million homes for sale with 1 million active buyers is the headline.   The specifics depend, of course, on what source is being relied upon and the part of the country being considered.

The National Association of Realtors defaults to the research and insights provided by its Chief Economist, Lawrence Yun.   With year-over-year sales essentially flat, Yun notes “… that despite increased inventory, high mortgage rates (around 6.95% for a 30-year fixed mortgage as of May 21, 2025) and economic uncertainty are suppressing sales, with pent-up demand growing but not yet realized…”  In Southern Florida, condominiums are stalled due to HOA funding issues and property age.  In California, the Palisade fires, changed the supply drastically.   In Colorado, Denver’s metro market has seen supply rise from approximately 8,000 to 10,500 units available at any one time for resale over the past 6 months.  Percentage-wise the change is notable.  Yet the time on market reveals much more.   For example, Denver’s average home takes 44 days to sell.   In context, this is still below the expected time on market for a home of 60 to 90 days.  Indeed, homes are no longer flying off the shelf in under 20 days with multiple offers.  Is housing failing here?  Unequivocally, it is not.

Living room featuring elegance and style, framed with an Ansel Adams Moonrise.

Comfortable living at 520 Jackson Street. Courtesy MASONmodern/REColorado/Kentwood Real Estate DTC, LLC/Elizabeth Sacerdoti

This week revealed that inflation, jobs, and even tariffs are mostly in control.  Tariffs, though, are not finalized and jeopardize America’s economic potential.   Shifting employment, especially from immigration restrictions, will change core economic factors nationally.  Yet, productivity gains from the implementation of new techniques and technologies will further the employment picture in the mid-term.

Out West:

Focused on Colorado and the West, sellers are adjusting pricing from unrealistic real estate expectations.   Phoenix and Denver share similar qualities.   Scottsdale spans from Old Towne in the south to North Scottsdale’s latest developments.   While custom builds remain a premium (Whisper Rock or even those found in DC Ranch’s Silverleaf ), homes built in the past 20 years lend their age to tasteful remodels.  If untouched, the home is likely to linger on the market.   Price cuts are keeping each market fluid.   Growth remains the driver in the valley, especially with renewed focus locally and nationally on expanding the domestic semiconductor and mobility sectors.   Unquestionably, tariffs and immigration reform will further impact the costs to remodel or build new.

Traditional mixed with Contemporary styling at North Creek's Unit 701

Interior lounge view of Northcreek, Penthouse Unit 701. Courtesy: MASONmodern/REColorado/Compass – Denver.

In Denver, the Space race/Communications remain key contributors to the local economy.    A reasonable expectation is for a well-appointed home to be $715/sq foot currently.  Beyond each property’s distinct qualities, the location remains key.  In Cherry Creek North, Denver’s premier live, work, play neighborhood within the 80206 zipcode, a 1000 sq ft condo at $750,000  is now competing with multiple rental options in the $3500 to $4500/mo range.  For new builds, the Waldorf Astoria Residences has broken ground.  At approximately 2500 – 3000 sqft, the $2000/sqft is now the market luxury rate to be in the heart of Cherry Creek North.   Other options, from detached homes to newly built townhomes, range from $1.5 mm to $4 mm.   There are currently 40 homes starting from $1 mm in the Cherry Creek North “boundaries” with the highest value exceeding $20 mm, at Northcreek.  For a more specific evaluation relevant to individual goals, in Cherry Creek and the Denver metro market, reach out to market specialists like the Real Estate advisors at MASONmodern.

 

Author: Mason Hayutin

Founder, Editor and contributing writer, Mr. Mason Hayutin is recognized for his depth of experience and knowledge in technology, energy economics, real estate and the arts (fine and visual). Having worked with recognized world-class artists and their estates since 1997, Mason brings a wealth of practical experiences from installations, marketing, and private sales. An active business advocate, he successfully released the fine art documentary film LUBIE LOVE in 2009 ahead of the global auto crisis - in addition to maintaining his tenure at GALLERY M INC. Hayutin holds a degree in Economics from Washington University in St. Louis. He is the founder of MASONmodern, a boutique real estate firm based in Denver, CO. You can read his insight here at The Art Quarterly as well as in regional and national publications.

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