This week, I want to share an article I read in Boulder's Daily Camera a couple weeks ago about our unexpectedly active winter season. While the summer frenzy we saw earlier in 2015 may have slowed down in our area, it has not slowed down to a the extent most of the real estate professionals in our area have expected. It makes me wonder how next year will take shape since this winter is bucking normal trends. Continue reading below from Shay Castle's of the (Daily Camera) "Extended Season House Deals Dwarf Long-term Boulder County Averages":
We typically then see buyers drop off in the winter and then come back to check out the market by the early spring, but it begs the question, how will this busier than usual winter impact inventory, and subsequently supply and demand, in the spring and summer of 2016? I have clipped parts of the article (see below) by Shay Castle, who does a nice job explaining what is going on in our market this winter. As for me, I am going to keep a close eye on the inventory levels in Boulder County, so I can help my clients hit the ground running when they are ready in the spring. I may even recommend getting a little earlier start in February if we anticipate fewer homes available in 2016.
The super hot real estate market in Boulder County has created an extended season for prospective home buyers, with the percentage of homes under contract registering at nearly twice historic fall averages. In mid-October, 897 single-family home were listed in Boulder County, and 376, or 42 percent were under contract, well above the average of 22 percent, according to D.B. Wilson at Re/Max of Boulder. Last year, there were 1,023 active listings, and 368, or 35.6 percent, were under contract, according to Re/Max of Boulder. "We are significantly higher than average," Wilson said. "It's a strong market."Extended Season House Deals Dwarf Long-term Boulder County Averages, by Shay Castle (Daily Camera)
In a recent report, Kyle Snyder of Land Title Guarantee Co. noted the unusually high number of October closings, at 122, in Longmont, part of a larger three-year trend toward busy autumn buyers. "Activity in the late summer months never really slowed down," he wrote. "We never eased gently into fall/winter." Contract activity generally falls nationwide in the fall and winter, said Adam DeSanctis of the National Association of Realtors, but tight markets are definitely seeing less of a decrease this year.
"Overall demand is outpacing what's available for new and existing homes for sale," DeSanctis said. "Inventory isn't keeping up with the combination of new buyers entering the market and joining those who are still looking to buy but haven't been able to yet because of lack of choices and bidding wars pushing prices above their comfort levels." Grant Mueller, owner and agent at Spaces Real Estate in Boulder, said he's seeing two types of buyers this fall: those who gave up the hunt in the busy spring season and those who never stopped looking.
"There are a few less buyers and a few less sellers" than in the spring and summer, Mueller said, "but the ones who are out are serious." Read full article here.
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