Colorado Springs MLS Market Update for April 2020
By Murray & Associates – Keller Williams Colorado Springs
We are starting to see the impact of COVID-19, though it isn’t a significant impact to the Colorado Springs market – yet. Active listings are up and sales are down, but homes are still going under contract at a fast pace.
Average sales price is up 6% over one year ago and is $395,724. Median sales price is up 9% and is $360,000. Average and median sales prices are both up slightly over March. Total active listings jumped 16.5% over March, while sales dropped 4%. Months of inventory is up to 1.3 months.
Total actives are up only slightly from one year ago at 1% but sales are down 8%. New home starts are down 19% from March and only 1.6% from one year ago.
Effective April 27th, real estate agents were allowed to start showing homes to prospective buyers with tight restrictions to protect the buyers and sellers from the virus. So for most of the month of April, buyers were making offers without seeing the homes in person until they were under contract. Many sellers waited to list thier home after April 27th, at the advice of their agent, which could also explain the higher percentage of active listings.
Distressed properties are still not a problem, though may grow in 3-6 months or may not be a problem at all. Our appreciation rate over the past 5 years should protect the seller’s equity and allow most sellers in financial trouble to sell their home for more than the mortgage amount unless they recently refinanced and pulled out equity. Sellers in financial trouble should seek the advice of an experienced agent.
See Pricing Your Colorado Springs Home Right in Today’s Market for more information.
New home permits are down 19% from March and 1.6% from one year ago. The decrease in building permits is most likely due to the uncertainty in the market due to COVID-19.
With the lockdown on showings during most of April resulted in lower sales and a higher number of actives at the end of the month.