The Montrose market decelerated overall in the month of September, evidenced by the number of home sales sinking by 27% from August. Days on market and saturation rates increased, also echoing a softening in purchase activity. This reduction could be attributed to school going back in session, home-price surges, and home buyers not finding the inventory they would prefer to see. The median sale price in Montrose peaked at $292,500 for the month of September, up 5% from the previous month. Homes sold in September stayed on the market slightly longer as seen in the increased days on market. In a nut shell, it’s a strong seller’s market under $500K in Montrose.
Single family residence building permits in the city of Montrose are down 13% while the County is down 22% relative to 2018, January through September. The decrease in new construction starts may be attributed to a number of factors including costs and desirable land availability. Although new home builds in the Montrose region seem to be slowing, builder confidence nationally is high and near mid-2005 levels. “Low interest rates and solid demand continue to fuel builder’s sentiments even as they continue to grapple with ongoing supply-side challenges that hinder housing affordability, including a shortage of lots and labor,” said NAHB Chairman Greg Ugalde (Builder Confidence Hits Yearly High in September).
$100-200K price range: 2.2 month supply
$200-300k price range: 4.1 month supply
$300-400k price range: 5 month supply
$400-500k price range: 4.8 month supply
$500k-600K price range: 11.3 month supply
According to the National Association of Realtors, a healthy market (an equal number of buyers and sellers) is considered 6-months supply.
The national housing market experienced an uptick in sales through July and August. This is welcomed news for the overall housing market, given the previous 1.4 years were in decline prior to July. Freddie Mac is forecasting continued strength through the fall season as sinking interest rates and record rent prices are predicted to bring more buyers into the market. August sales were up 2.6%. The median sales price is now at $278,200, up 4.7% from August 2018. The equity gain in August is in-line with the larger trend of continued price increases across the nation during the last 7.5 years (U.S. Home Sales Inch Up…, Freddie Mac September Forecast…).
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Statistics gathered from CREN MLS, criteria are 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 Realtors, 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.