Prices for Colorado Springs real estate continued to jump in November, with the average price up 8% at $342,618 and the median up 8.2% at $303,000. The months supply of homes for sale is now 2. This is a very low level, well below what is typically termed a normal market. There is a growing disparity between the median price of listings in the inventory, vs the median price of the listings that are actually sold. This could point to a new affordability gap at the low end of the market. As more affordable homes become scarce, buyers may be finding it more difficult to purchase the homes that are actually for sale. As of December 1, there was under a 1 month supply of homes on the market below the median selling price of $303,000.
Sales for November were actually down 12.7%. This is the 9th consecutive month of year over year declines, and is probably attributable to a combination of low supply of affordable homes, rising prices, and rising interest rates (4.68% is the Bankrate.com average as of 11/30). New building permits for single family homes continue to be strong (up 15.7% YTD), but new construction tends to be in the higher price ranges.
Unemployment remains low, currently at about 3.9% locally. Interest rates have held somewhat steady since the election. Colorado Springs was recently called out as a number 1 market to watch (See article HERE)
Colorado Springs was recently ranked the #2 best place to live in the US by US News and World report (see the article HERE), a reminder that upward pressure may continue for some time on our market.
Here is a brief summary of some of the November data:
- Sales down 12.7% at 1,096 units
- Average price up 8% at $342,618
- Median price up 8.2% at $303,000
- Inventory of unsold homes up 30.12% at 2,222 homes
- Months supply of homes for sale 2
- Pending Sales 1,415 (down 14.7% from last year at this time)
For more details, see the Colorado Springs Homes Sales Trend Data
“Based on information from the Pikes Peak REALTOR Services Corp. (“RSC”), for the period 1/1/05 through 11/30/18. RSC does not guarantee or is in any way responsible for its accuracy. Data maintained by RSC may not reflect all real estate activity in the market.” Copyright © 2018 REALTOR® Services Corp. Questions about this data analysis should be directed to Rick Van Wieren, RE/MAX Properties, Inc, 1740 Chapel Hills Dr, Colorado Springs, CO 80920 ph 719-331-7675 or email firstname.lastname@example.org
Updated as of 12/3/2018