Denver is inextricably tied to the larger real estate market of Colorado, which was one of the hardest hit during the first portion of the nationwide recession. Both Denver and Colorado experienced an extremely high rate of foreclosures, an indicator that Denver real estate suffered a powerful blow from the economic downturn. According to the Irving, California based Realty Trac, Incorporated, Colorado had the fifth highest rate of foreclosures of the fifty states, while Denver had the nineteenth highest rate amongst major metropolitan areas and cities. These figures were reported in the year 2008, although they did contain a glimmer of hope for Denver especially - the company indicated that the rate of foreclosure growth was slowing.
Denver, along with Colorado at large, retains very high foreclosure rates, although much less than other markets, Las Vegas real estate market for example. Thankfully, the long-term market trend seems to indicate that the number of foreclosures will continue to decrease. While the first quarter of 2008 was literally disastrous for the Denver real estate market, the first quarter of 2009 saw a decrease of 46% over the former time period. While the economics involved are somewhat complex and subtle, this basically means that more people are able to afford their monthly mortgage payments, meaning that Denver's real estate market is becoming more stable. Nonetheless, Denver definitely remains a buyer's market, so if you are in the market for undervalued homes and investment opportunities, it is without a doubt worth another look.
The overall housing market in Denver seems to be on the upswing, boosted by the positive figures posted regarding foreclosures. Since last year, sales of new and existing homes have increased nearly six percent, while houses are remaining on the market for substantially shorter periods of time. In short, the buyers are out there, and they are purchasing at a markedly improved rate. Interest rates on Denver real estate are slightly below five percent, which may discourage some home owners from selling their houses, although the future actions of the Federal Reserve in large part dictate the future of that component of the economy.
This Denver Colorado market update was provided by Good Life Homes and their team.