Coming to an end of the first quarter of 2019, we are continuing to see a slow down in inventory which brings the inevitable price increase. Compared to March of 2018, we have only seen an increase of approximately 3.04% from $246,300 to $254,000 in median home prices. The most drastic issue we continue to see is the lack of inventory. Due to the low housing supply, hungry buyers are acting more quickly when a home comes on the market. Because of this, our median days on the market dropped from 62 days to 51 days since this same time last year. That’s a massive 17.74% decrease!
Saturation Rate for Montrose Real Estate
$200,000 – $300,000 = 3.26 Months of Inventory
$300,000 – $400,000 = 6.49 Months of Inventory
$400,000 – $500,000 = 10.22 Months of Inventory
$500,000 – $700,000 = 13.3 Months of Inventory
These numbers show that we are still in a heavy seller’s market when it comes to homes priced under $300k and even coming into the $400k price range. As volatile as this market is, working with an informed real estate agent would be advised.
Shockingly enough, it’s the millennials that have shown to have the highest number of purchases (This is where Millennials are Buying the Most Homes). Within the last 2 years alone, home ownership rates for millennials between the ages of 28 and 31 increased from 27% to 47%. A lot of them are first time home buyers.
The Nation Association of Realtors states that coming into March, we have seen the largest month-over-month gain since December of 2015 with an increase of 11.8% in existing home sales. Comparing March 2018 to 2019 these are the changes we have seen: the national median home sale price increased by 3.6% from $240,830 to $249,500, the supply of residential homes has increased by 3.2%, and the median days on the market has increased from 37 days to 44 days.
Although we saw an increase in mortgage interest rates towards the end of 2018, they are now dropping once again. 30-year fixed interest rates are as low as 4.2%. The lower interest rates will allow buyers to qualify for higher purchase prices potentially lowering the average days on market for residential real estate.
Thinking about Buying or Selling? Call or Text: 970-417-9375
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.