Is Our Small Town Growing Into a Major Metro? – April Real Estate Stats
The Montrose real estate market has officially evolved into a Denver-style market. Multiple-offer situations, which are old news, have been occurring since 2015. What’s making the local market look like a metro, are the multiple-offer situations now occurring in the high-end luxury market. What’s even more eye-opening is the number of buyers who are equipped with cash, ready to outbid competing buyers using traditional financing.
Where’s all this money coming from? Rumor has it that many are taking stock market money off-the-table and placing it in hard assets like real estate. Another explanation of why money seems to be so flush is that Montrose may also have been officially “discovered” due to the urban flight of 2020, driving metro money in our direction. The median home price for Montrose is now 8.9% higher than the national average (based on February’s median sale price).
What is truly “official” are the staggering market numbers:
- 20% increase in the number of homes sold in the 1st quarter of 2021.
- 21% increase in the sale price of homes (not seen since the mid-2000s)
- 105% increase in pending home sales.
- 61% decrease in available housing inventory (never seen previously).
The National real estate market looks quite similar to the Montrose market. The median existing home sales price is up 15.8% higher from the same period last year. The available housing inventory decreased 29.5%, which is not as bad as Montrose, but still a record decline historically. Nationally, sales are down from the previous month due to supply shortages rather than demand.
Mortgage rates are a hot topic as the 30-year fixed rate mortgage is projected to increase to 4% (or higher) by next winter. Many wonder if this will slow the housing market since rate increases affect monthly mortgage payments and affordability. A rate increase could absolutely slow the dramatic housing price increases that have been fueled by the urban flight and low mortgage rates.
Thinking about Buying or Selling? Call or Text: 970-417-9375
Statistics gathered from CREN MLS, criteria are all residential not including mobile or manufactured housing in Montrose. 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 Realtors, CoreLogic data analysis firm, Montrose Association of Realtors, CMU Department of Business and Economics, InfoSparks, YCharts, National Association of Realtors, Cornerstone Home Lending, and the Mortgage Brokers Association. This data is considered accurate, but is not guaranteed. Copyright Atha Team LLC 2021. All Rights Reserved.