The Colorado Association of Realtors has just released housing reports for all of the districts in Colorado and a statewide report. These second-quarter reports for 2014 are particularly helpful to show the overall trends in the market, and they are an opportunity to see the trends in common and those that are unique to our market.
The statewide report shows a 6.2 percent decline of single-family home sales this year, and La Plata County is down 1.7 percent.
The Bayfield market had the largest increase of single-family sold listings, with an additional 20 homes sold in the first six months of this year compared with last year.
The median price for single-family homes is up for the state by 7.2 percent, and it is up 4.5 percent for La Plata County. The Durango in-town market led the way with a median price increase of 11 percent.
What does this mean?
In summary, the overall real estate market for Colorado and La Plata County has leveled and declined slightly after years of increased sales activity. Through the Great Recession, the median price dropped, and affordability increased for buyers.
Today, the increases in median price are playing a little “catch up” from the market bottoms, and it is affecting affordability for some buyers.
In La Plata County, real estate agents and buyers have complained of lack of inventory and few homes to select from, but in this summer market, we are seeing a larger inventory than last year. This provides buyers greater selection, and it can be a benefit for a buyer in negotiation.
The county has 10.4 months of inventory, which suggests a buyer’s market, and the Durango and Bayfield rural markets are showing higher inventory levels, as well.
The Durango in-town market shows a balanced market, which is one that does not favor buyers or sellers, and the Bayfield in-town market appears to be a seller’s market with only 3.5 months inventory.
New listings of single-family homes in Colorado is down 4.4 percent, yet in La Plata County, new listings are up 4.7 percent.
In conclusion, the number of homes on the market in La Plata County provides a good selection for buyers, and coupled with the excellent interest rates, this may be an opportune time for buyers to come to the market.
Don Ricedorff is a Realtor at The Wells Group in Durango and a past president of the Durango Area Association of Realtors. He can be reached at don@durangorealproperty.com.
