This is the February 2019 Real Estate Market Update for Loveland CO
Loveland CO home sales fell in January 2019 to 100 homes sold, down 49% from 149 sold in December 2018, and down 22% from the 122 homes sold in January 2018. This isn’t an unexpected result, as we’re in the middle of what is typically our slowest season, with similar sales declines in previous years.
Home prices rose in January 2019, with the median price gaining 5.4% to $390K from $370K in December 2018, and average price up 7.0% to $443K from $414K in December 2018. These numbers reflect only the prices of those specific homes sold during a given month, so random as well as seasonal effects will impact the outcome. The long-term trend line, as seen in the graph at the right, is a better indicator of where home prices - and values - are going.
The inventory of available homes also held relatively steady in January, dropping a mere 1.6% to 374 homes from 380 at the end of December 2018. The Month’s Supply of Inventory (MSI) jumped to 3.4 months, in response to the significant drop in sales, taking us out of seller’s market territory for the first time in the last three years.
The winter months are a poor time to make predictions about where the real estate market is headed. Activity is generally slower, and other random factors like weather can play a major role. There isn’t anything particularly alarming about January’s numbers, although we have noted that 49% drop in sales. But we haven’t seen any change in the underlying driver for real estate activity - the regional economy remains strong and and continues to generate new jobs. We’ll be watching closely in the coming months for better indications of where this year’s market will be headed.