Sales:

As expected as we move into the holiday season, Fort Collins CO home sales decreased in November 2022. There were 133 sales, a drop of 27.8% from the 170 sold in October 2022, and a drop of 72.2% from the 229 sold in November 2021. Year-to-date, there have been 2,130 homes sold, down 33.7% drop from 2021’s 2,848 homes sold in the same period. Homes sold for an average of 98.9% of listing price during November 2021.

Prices:

Home prices rose in November 2022. The median price of homes sold during the month was up 1.7% to $585K from $575K in October, while the average price was up 0.3% to $678K from $676K. These are normal price variations and reflect the price of the specific homes sold during the month, along with some impact from a seasonally slowing market.

Inventory:

Also as expected for the season, the inventory of available homes in Fort Collins CO fell in November 2022, with 326 homes for sale at the end of the month, down 12.3% from the 366 for sale at the end of October 2022. The Month’s Supply of Inventory (MSI) rose to 2.5 months, the highest since January 2020.

Sales Price vs. List Price:

From a peak of 105.5% in April 2022, this indicator has returned to normal levels, and now stands at 98.9%, a more normal level, as we put the seller’s market of last spring firmly behind us.

Summary:

The real estate market, as we would expect for the season, is giving us very few clues as to its future direction. We know that the combined impacts of economic uncertainty about the threat of recession, higher interest rates, and inflation will play major roles next year, but nothing in the current market activity gives us much additional insight.

That doesn’t mean that we can’t make some educated guesses – it’s just that we don’t have any new local real estate data from November that changes anything we’ve been thinking all along. Simply stated, that’s basically that good economic news will give us a more or less normal spring market, and bad economic news will lead to a much slower spring market. And it’s too early to predict what that news is likely to be.

We’ll be back next month with the 2022 overview, and, data permitting, perhaps better predictions about what 2023 will look like for Northern Colorado. Until then, we wish you a Very Merry Christmas and a Happy New Year!