During the final quarter of 2015 we again saw increases in the number of properties listed for sale in almost every Northern Colorado market. The number of new properties that hit the market in Fort Collins rose 13% when compared with the same period in 2014. Other markets followed suit with increases ranging from 7% in Longmont to a 23% increase in Windsor. This increase in listings is the continuation of a trend we identified in the 3rd quarter of 2015. During those months our agents felt the market softening a bit; but we weren’t sure if it was the fall slowdown, or the market losing steam. Now that we’ve seen the increase continue for 2 quarters, we think the trend could continue and begin to slightly cool this blazing hot seller’s market.
Fall is typically a time of year when real estate activity slows a bit. The summer selling season is winding down, most folks with school aged kids worked hard to complete their move during the summer so the sales volume slows once September rolls around. So when our team began to see signs of a cooling market this fall, it was tough to know whether it was the time of year, or an indication that market conditions are changing. Showing activity on listings slowed, price drops became more common and we noticed some listings that we expected to sell in a matter days sit on the market for a few weeks or in some cases months. Is this just a fall flop or has our market peaked? Let’s check the numbers to find out.
Low inventory and rapid appreciation continue to characterize the Northern Colorado Real Estate market. The median sale price in the city of Fort Collins was $256,000 in the 4th quarter of 2013, while the 4th quarter of 2014 saw a median sale price of $286,000–that’s a 15.6% increase. It’s no wonder prices are up again when you see that the number of homes for sale at the end of 2014 is 20% less than it was a year ago.
With all the news and hype about the red hot real estate market in Fort Collins we are hearing a lot of our buying clients drop the B word and ask if they are buying in the midst of a bubble in home prices. It’s a valid question that deserves a look at historical data.
As I sit and review the 3rd quarter 2012 housing stats for Fort Collins, the numbers tell the story my team and I have been relaying to our clients all year: Inventory is down, prices are up; our market is moving!