In mid-month, buyer activity for homes under $600K picked up significantly, and many new listings received multiple offers. Due to pent up demand and some reprieve in interest rates, this activity is on the rise. Mortgage rates fell from 7.8% to 6.7% in October, increasing buyers' purchasing power. January saw a 24% increase in mortgage purchase applications. As the Federal Reserve waits to see continued inflation progress, the Fed held rates steady at their January meeting and indicated a rate cut is not likely in March. Hopefully this summer we will see further declines in mortgage rates, which should result in an increase in demand.
Compared to last year, our Close Price Median and Average were both up around 5%. As we forecast pricing through 2024, this is in line with what we are expecting. Denver’s real estate market is expected to have a healthy year in 2024 - contact your Invalesco Advisor to see when you should buy or sell!