- Demand exceeds supply and will keep prices elevated. To offset demand in our market, we would need to have over 28,500 homes listed for sale. Currently, we have ~3,695 active listings across seven counties that represent a total population of ~2.9m people. Turnkey homes that are priced right are seeing multiple offers due to low supply.
- Remember, real estate is long term. When we look to history, home prices have appreciated 73 years out of the past 81 years! Investing in hard assets like real estate is a smart move. Further, history tells us that real estate appreciates during recessions. Of the last six recessions, Denver real estate values have appreciated during five recessions.
- Volatility can mean opportunity for buyers. When you look beyond the headlines and dig into the data, you will uncover an economic story that shows signs of a slowing economy. Inflation drives mortgage rates, and as inflation decreases, so will rates. Buyers who enter the market during volatile times have a higher likelihood of being able to negotiate concessions and rate buydowns from sellers today and can refinance into lower long-term rates in the future.
- Banking failures are inherently deflationary. While we don’t yet know the long-term impacts of the banking failures, the immediate impact was a drop in rates. In the future, access to credit could be tightened, which is also deflationary.
With 15 new developments in the works, the city is heavily invested in creating atmospheres for businesses to thrive by melding business and residential communities together. Its focus on transit-oriented development, urban renewal/redevelopment, retail, residential, and industrial/office is making Aurora an attractive place to call home.
If you were forwarded this email and would like to get my updates directly, click here to join my mailing list.
Connect with me on social media and stay in the know with market updates