Denver Metro Market Trend Analysis - Denver Metro Selected Towns/Cities

This month showed continuing improvement in the selected markets shown below, which bucks the "conventional" wisdom from much of the local media.

Last month, there were 10 Seller's Markets, 3 Neutral Markets, and 4 Buyer's Markets; THIS MONTH, there are 13 Seller's Markets, 3 Neutral Markets and 1 Buyer's Market. This was most notably influenced by a 12.7% drop in active listings, with sales levels being comparable - if not entirely even - with prior months' levels. As a result, the Denver MLS (MetroList) showed a 12.7% improvement from last month.

Although the specific cause for this was not investigated, it is logical to believe the impact of holidays and the lack of sellers' desire to be "on market" over the holidays were the primary factors contributing to this change. Nevertheless, this has a positive impact on the price of homes, due to a comparatively reduced inventory (compared to previous months and years) while maintaining the trailing 12 months' average sales volume. It is logical to project that listing activity will occur in January, without a corresponding increase in purchase volume. As a result, it is reasonable to expect that inventories will bloat in January.

It is noteworthy that many builders are halting or severely reducing their "spec" or inventory homes. This should cause an upward pressure on the prices of resale homes.

Now, local conditions may vary from those shown below, so it is important to consult a REALTOR® familiar with your market to ensure you get the best advice pertaining to your neighborhood. As always, I am at your service to help you buy or sell your home.

Kind regards,

Michael Clarkson
RE/MAX Alliance
303.403.2641
MJ@MileHighHomeHunter.com

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Market Trend Analysis - Denver Metro Selected Towns/Cities
Based on information from Metrolist, Inc. for the period December 2, 2007 until January 2, 2008.
Single Family Residences Between $100k and $1,000k
Excludes Housing Not Listed in MetroList
Note: Six (5.5 to 6.5) Months of Inventory Tends to Indicate Neutral Market, Over 6.5 Months a Buyer's Market, Under 5.5 Months a Seller's Market
Locale	Active Listings	Prior 12 Months Sold	Sold per Month (Avg)	Months of Inventory (MOI)	Current Mkt State	Under Con-tract	Curr. Mo. Vs. Ann'l Sold per Mo.	Under Cont-ract vs. 12 Mo. Sold
Arvada	491	1,451	120.9	4.1	Seller's Market	109	Buyer's Trend	-10%
Broomfield	266	812	67.7	3.9	Seller's Market	60	Buyer's Trend	-11%
Castle Rock	639	1,316	109.7	5.8	Neutral Market	133	Seller's Trend	21%
Denver	3,681	7,742	645.2	5.7	Neutral Market	746	Seller's Trend	16%
Erie	160	292	24.3	6.6	Buyer's Market	33	Seller's Trend	36%
Golden	368	710	59.2	6.2	Neutral Market	49	Buyer's Trend	-17%
Highlands Ranch	292	914	76.2	3.8	Seller's Market	68	Buyer's Trend	-11%
Lafayette	72	210	17.5	4.1	Seller's Market	10	Buyer's Trend	-43%
Lakewood	496	1,404	117.0	4.2	Seller's Market	115	Buyer's Trend	-2%
Littleton	728	3,029	252.4	2.9	Seller's Market	181	Buyer's Trend	-28%
Louisville	29	101	8.4	3.4	Seller's Market	8	Buyer's Trend	-5%
Northglenn	187	415	34.6	5.4	Seller's Market	37	Seller's Trend	7%
Parker	598	1,628	135.7	4.4	Seller's Market	107	Buyer's Trend	-21%
Superior	27	134	11.2	2.4	Seller's Market	7	Buyer's Trend	-37%
Thornton	725	1,622	135.2	5.4	Seller's Market	141	Seller's Trend	4%
West-minster	557	1,251	104.3	5.3	Seller's Market	112	Seller's Trend	7%
Wheat Ridge	128	307	25.6	5.0	Seller's Market	16	Buyer's Trend	-37%
Total of Selected Towns & Locales	9,444	23,338	1,944.8	4.9	Seller's Market	1,932	Buyer's Trend	-1%
Total MetroList*	18,835	38,544	3,212.0	5.9	Neutral Market	3,840	Seller's Trend	20%
* Single Family Residences Only
http://www.MileHighHomeHunter.com
http://www.MileHighForeclosure.com
http://www.CashPathRealEstate.com
http://www.HomesInColorado.com/mclarkson
Note: This representation is based in whole or in part on content supplied by Metrolist, Inc. Metrolist, Inc. does not guarantee nor is in any way responsible for its accuracy. Content maintained by Metrolist, Inc. may not reflect all real estate activity in the market.