April was a good month in the real estate business in Colorado Springs. Homes sales were up 11.9% over last year, and prices were up 4.7%, a very respectable amount. While the tax credit expiration of April 30 undoubtedly pulled some activity into the month, most of the impact of that will likely be felt in May and June closings (there were 1,866 homes in some level of ‘pending sale’ status), as the closing deadline under the program is June 30. Even distressed property sales indicated an improvement, with only 1 in 5 homes sold being shown as ‘distressed’ in some way, down from almost 1 in 3 as recently as January.
It isn’t ALL good news. The fact is, the inventory of unsold homes actually grew for the 1st time in 2 years (only up 2.6%). But considering it has been shrinking for 2 years straight, it had to increase sometime. Taken in context of the number of homes being sold, it put us at about a 6 1/2 month supply, very near what many economists think of as ‘balanced’ market.
For more details and a 5 year trend chart, visit the Market Conditions section of this web site.
© 2010, Rick Van Wieren Real Estate, Inc. All Rights Reserved. On republishing this post you must provide link to original post.