This is the December 2022 Real Estate Market Update for Loveland CO
As is typical for the holiday season, home sales in Loveland CO fell in November 2022. There were 91 homes sold, a drop of 36.4% from the 143 sold in October 2022, and down 50.9% from the 185 sold in November 2021. Year-to-date sales of 1,711 homes are down 29.9% from 2021’s 2,222 sold during the same period. Homes sold for an average of 98.7% of listing price last month.
Home prices fell in November 2022. The median price of homes sold during the month fell 6.7% to $525K from $560K in September, while the average price fell 16.5% to $582K from $678K. These price changes reflect only those specific homes that sold during the month, and in this season of slower activity, are likely to have little significance as market indicators.
Inventory declined in Loveland CO during November 2022, down 9.5% with 232 homes for sale at the end of the month, from 254 at the end of October 2022. The Month’s Supply of Inventory (MSI) rose to 2.5 months, the highest since March 2020.
Sales Price vs. List Price:
This market indicator, which peaked in May 2022 in last spring’s strong seller’s market, has been declining since into more normal territory, but rose slightly to 98.7 in November 2022.
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!