The Montrose housing market is still strong with buyers eager to jump if the product and price is right. Recent inventory coming on the market has been priced high, and buyers are willing to wait as they’ve seen price drop trends through the fall and winter. Homes priced at fair market value though, are typically under contract within a month or two.
We do expect to see a similar year in 2019 but with slower price gains in the under $300K market. Housing supply levels over the past 6-months look encouraging for Sellers, especially in the under $500K range.
Month Supply of Inventory Based on the Last 6-months of Activity
- $200-300K price range: 3.21 month supply of inventory
- $300-400K price range: 3.58 month supply of inventory
- $400-500K price range: 5.6 month supply of inventory
- $500-600K price range: 24 month supply of inventory
With these inventory numbers, keep in mind that an equilibrium market (an equal and healthy number of buyers and sellers) is 6 months. Also, being the dead-of-winter, the number of homes currently on the market in Montrose is low. This makes the supply levels look lower than what we would most likely expect to see mid-summer. Homes in the $100-200K price range are typically under contract within 2-weeks and close within 60 days.
The government shutdown has been a topic of intrigue regarding its affect on the real estate market. In the National housing market, existing homes sales experienced a 10.3% decrease over the course of the year from December. The drop in homes sold is believed to be attributed to a lower selection of housing inventory for buyers and higher interest rates during the first half of the year.
Based on a survey conducted by the National Association of Realtors in early January, 11% of Realtors surveyed said clients were holding back on real estate plans until the shutdown subsided. Going into 2019, price gains are slowing (4.8% gain YOY from December) while the median annual home price in 2018 was at its highest level ever, hovering at $259,100.
In the latest NAR report, economists had positive comments on housing affordability, stating that affordability, according to historical standards, was better in 2018 compared to the year 2000, taking interest rates, job supply, and home prices into consideration (Existing-Home Sales See 6.4 Percent Drop in December).
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Statistics gathered from CREN MLS, criteria is all residential not including mobile or manufactured housing in Montrose. Copyright 2019-2021 Keller Williams Colorado West Realty, LLC. If you have a brokerage relationship with another agency, this is not intended as a solicitation. Equal opportunity housing provider. Each office is independently owned and operated. For sale by owner data not included in research findings. Sales data reflects sales from homes not limited to the Atha Team LLC. This information was gathered from Keller Williams, The National Association of Realtor, CoreLogic data analysis firm, Montrose Association of Realtors, CMU Department of Business and Economics, and the Mortgage Brokers Association. This data is considered accurate, but is not guaranteed. Copyright Atha Team LLC 2019-2021. All Rights Reserved.