Sales:
Greeley CO home sales rose in June 2022. There were 145 homes sold, up 21.8% over the 119 sold in May 2022, and up 15.1% from the 126 sold in June 2021. Year-to-date, 762 homes have sold, up 26.8% from 2021’s 601 homes sold in the same period. Homes sold for an average of 102.1% of listing price during June.
Prices:
Home prices were mixed in June 2022, with the median price down to $455K from $460K in May 2022, a 1.1% drop, while the average price was up slightly to $465K from $463K. Inventory increases are no doubt lessening upward pressure somewhat, but demand is still high.
Inventory:
Inventory increased again in Greeley CO in June 2022, with 117 homes on the market at the end of the month, up 25.8% from May's 93 homes, and the highest level since June 2020. The Month’s Supply of Inventory (MSI) held steady at 0.8 months.
Summary:
June's real estate statistics offer a strong suggestion that the market is heading back into calmer waters, at least for now. As homeowners have responded to rising prices by showing more willingness to offer their homes for sale, it's unlikely that we'll continue experiencing an unbalanced market defined by an unprecedented lack of inventory. But a return to "normality" is equally unlikely, as rapidly rising interest rates and economic uncertainty, along with other looming social and political concerns, have dampened demand.
While the statistics report what went on with homes that have closed on their contracts in June, those contracts were most likely written during April and May. We're also seeing what's happening now, and getting a glimpse of what our numbers are going to look like in August, September and October. It's too early to try to interpret those, but we are seeing price drops and a bit more conservatism on the part of buyers, as well as contract cancellations due to increasing loan costs.
It's going to be difficult for a while to define, much less achieve, whatever a new "balanced" market might be. We'll be watching closely and keeping you up to date here, but if you have questions or just want to talk about the real estate market, please don't hesitate to give us a call.
