While it’s not unusual for inventory to be low in the winter months, February’s numbers are the lowest of any month on record. The 31-year average for February is 14,635 active listings.
The combination of low inventory and high demand due to the influx of people moving to the Denver area means home prices continue to climb upward. The median price of properties that sold in February rose to $355,000, an increase of 9.23 percent compared to Feb. 2016.
It’s tough to be a buyer in such a tight market and many homes end up selling for more than what the seller was originally asking. Buyers are also taking additional measures to beat out other bids, including writing letters and producing videos to try to win over a seller.
Realtors say an increasing number of offers now also include so-called “escalation clauses,” wherein a buyer agrees to pay one, two or three thousand dollars more than anyone else who comes in with a better offer.