August 2023 Real Estate Market

We continue to see the annual seasonal market slow with inventory up and demand down. We have just over 6,000 total listings for sale. New listings decreased week over week by -7.6% and compared to one year ago new listings are down -10.5% keeping housing inventory tight in 2023! We know that some of this is the ‘golden handcuff’ effect where many buyers are holding on to those amazing interest rates and lower payments - sometimes, whether their homes still work for them or not.

Months of inventory remained flat at 1.6 months of supply in the 7 metro counties. When this number is below 1 month of inventory, it means multiple offers are more likely since there are more buyers in the market than homes to sell. We would need to have over 23,000 total listings available for sale for a balanced market and we are about 1/4 of the way there. The market is still competitive!

The market is hotter and colder geographically, though. Hotter areas can be found west of I-25 and cooler in areas of new construction, Central Denver, and the outer ring suburbs outside of C-470.

The Odds of Selling decreased to 51.0% when listing last week in the next 30 days. Overall, August’s average Odds of Selling from 2013-2019 was 50.7%, so we are right on track. About 12,000 showings were set last week, averaging 1.9 shows per property, and on average it took 14 showings to go under contract in a median of 17 days.

Rates have hovered between 6.5 and 8% in August, but settled in the high 6 - low 7%. Appreciation remains strong, even compared to the last few years. Prices are right-sizing, but home owners still have plenty of equity in their homes.