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Denver’s median home price hit a record high of $409,900 in 2018

Posted: 12:50 PM, Jan 04, 2019
Updated: 2019-01-04 19:58:04Z
Don't get too excited over Denver housing market

DENVER — 2018 was another year of records for Denver’s real estate market.

The median home price was $409,900 for the year, according to the latest data from the Denver Metro Association of Realtors. That number represents an increase of 7.87 percent compared to 2017.

Sales volume also reached a new high in 2018, hitting $26.5 billion, an increase of 2.36 percent year-over-year.

The number of homes on the market, while still low compared to years past, was also up in 2018. By the end of the year there were more than 5,500 active listings in the metro area, an increase of more than 44 percent compared to the same time in 2017.

“Sellers celebrated in the first half of the year with a crazy blur of multiple offers and fast sales,” said DMAR Market Trends Committee Chair and Denver-area Realtor Jill Schafer. “It was buyers’ turn to celebrate when the housing inventory jumped up in May and June, causing a market adjustment in the second half of the year and finally giving them some choices.”

The increase in inventory led to some Denver sellers having to reduce their asking prices for the first time in years, Schafer said.

Despite the increase in inventory, home sales overall were down for the year. About 56,000 homes were sold in the Denver metro area in 2018, a decrease of 5.52 percent year-over-year.

What will 2019 hold?

The National Association of Realtors predicts the Denver market will see some a 6.7 percent decrease in the number of home sales in the new year and a 6.8 percent increase in prices.

It’s likely the Fed will continue to raise interest rates in 2019, so prospective buyers who have been waiting for the right moment might consider taking the plunge and locking in an interest rate before they go up again.

“There’s no time like the present to buy or sell a home in the Denver metro area,” Schafer said.