The end of summer typically is a transition time for residential sellers and buyers in the Denver market. This year was no exception. The key difference of course remains the “normalization” of interest rates from historic lows.
As Fall takes shape, what and where a home is located and its condition remain of utmost concern to the buyer. While supply remains limited, the urgency to commit to a new home is a more dear decision. The seller with a beautiful home with little to no work required in Denver is typically finding a buyer within 20 days. Should flaws exist, either on site or with a neighborhood element (for example power lines, unkept common elements, urban issues), the seller has to price accordingly. Similar to national conditions, New home construction is now reporting pricing pressure as the buyer weighs travel and condition options found in Denver’s metro area.
Nationally, the Federal Reserve later this week will decide if the rise in GAS prices along with industry shocks (UAW Strike) are motivation enough to refrain from another interest rate hike for 2023. Should “Powell and Company” decide to actually do the unexpected, a cut, home pricing will remain firm, and sidelined buyers will re-enter the home purchase process for a continuing tight supply of homes.
