There were 255 homes sold in Fort Collins CO in April 2021, up 8.1% from the 236 homes sold in March 2021, and an increase of 37.1% from the 186 homes sold in April 2020. While this would normally be a routine increase, comparisons between the two years, or even the last two months, have been heavily influenced by pandemic impacts.

Prices: 

Home prices were mixed in April 2021. The median price increased 3.0% to $510K from $495K in March 2021, while the average price decreased 3.5%, to $559K from $579K. For as long as they last, inventory shortages and high demand are going to continue to exert upward pressure on prices.

Inventory:

The inventory shortage remains at unprecedentedly low levels, with only 112 homes on the market in Fort Collins CO at the end of April 2021, a 14.3% drop from March 2021’s 128 homes for sale. The Month’s Supply of Inventory (MSI) fell to 0.4 months, as sales outpaced limited inventory gains.

Summary:

We remain in uncharted territory in regards to the nature of the current real estate market. Demand for homes is high - homes are selling quickly, often with multiple offers. But rising prices and pandemic effects are squeezing the buyer pool. And when potential sellers examine those price impacts, as well as scarcity, on possible replacement homes, they seem to making a collective decision to stay put, at least for now. The mechanisms which generally restore market balance have been inhibited by static or declining income and pandemic uncertainty so far. And while we see some easing of restrictions and the beginning of a return to more normal times, we haven’t seen that begin to filter down to the real estate market yet. We think the first hints of that will come from inventory gains, and we’ll be watching carefully for that. Stay tuned and we’ll keep you informed.