This is the May 2022 Real Estate Market Report for Fort Collins CO
Sales of Fort Collins CO homes increased in April 2022. 216 homes sold, up 23.4% over the 175 sold in March 2022, but down 18.1% from the 255 sold in April 2021. Year-to-date, 653 homes have sold, down 25.7% from 2021’s 821 homes sold in the same period. Homes sold for an average of 105.5% of listing price during last month.
Home prices rose in April 2022. The median price rose to $621K from $605K in March 2022, a gain of 2.1%, while the average price climbed to $726K from $685K, a gain of 6.0%. Inventory shortages continue to be the main factor driving prices upward.
Inventory saw a welcome gain in Fort Collins CO last month. There were 138 homes for sale at the end of the month, up 110.0% from March’s 63 homes, but still well short of normal levels. The Month’s Supply of Inventory (MSI) rose to 0.6 months, as inventory gains exceeded sales.
The Fort Collins real estate market remains far out of balance, as evidenced by the jump in home prices. The strong gains in inventory show movement toward more stability, but we’re still far short of normal levels. While prices may have finally reached a level that encourages more existing homeowners to sell and realize some substantial gains, inflation fears and rising interest rates will certainly cool housing demand somewhat. And beyond that, we have a structural problem that is getting insufficient attention - events of the last several years have seen a significant portion of our population priced out of the market, with home ownership now a dream out of reach. It’s a structural problem because when real estate markets function well, the driving force comes from the bottom of the market as well as the top, and that’s pretty much gone now. It’s going to take while for this to play out, but we’ll be watching carefully and will do our best to keep you up to date.