The number of Denver homes put under contract in July hit 4,250, up 11.6 percent from July 2010. Local inventory also hit a 10-year low with about 19,000 unsold homes on the market in July, according to Metrolist data.
Although home sales were up year-over-year, the numbers were down from June to July. Denver homes under contract slid 10.7 percent from June, and the number of closings dropped six percent from the previous month.
Why do year-over-year numbers look great while June to July numbers are not as positive? Last year, the Denver real estate market experienced the side effects of the federal home buying tax credits, which benefited home buyers who closed on their new property by April 30, 2010. With no dramatic shift in sales like in 2010, the post-April 2011 numbers look all the better.
Mortgage rates also fell heading into this week thanks to the volatility of the stock market. Qualified home buyers can now find a mortgage with rates pushing four percent. As the economy improves, Denver mortgage rates will do the same.
For more information about the current real estate market, visit the Inside Real Estate News article. With inventory down and fantastic rates, we should begin to see an increase in activity and offers for Denver homes.
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