Home resales in the Denver area continued to climb in October, even as prices dropped, according to data released Thursday.
The number of homes sold last month increased to 4,265, up 11.3 percent compared with the same time last year. The number of homes under contract was 4,504, down 3 percent from October 2007.
The median price for a single-family home declined 12 percent compared with the same time last year. The median price for a condo declined about 7 percent from last year to $130,300.
“Prices went down but just because people are buying the more affordable homes,” said Gary Bauer, an independent real-estate consultant. “Of those that closed in the month of October, almost half of residential homes sold were under $150,000.”
The number of homes on the market dropped to 23,120, a 20 percent decline compared with a year ago. That is a good sign, said Chris Mygatt, president and chief operating officer of Coldwell Banker Residential Brokerage in Colorado.
“As we end up with less inventory, that is what will ultimately drive prices back up,” he said.
But Mygatt said it is impossible to answer the question he hears most often: Have we hit the bottom of the market yet?
“The only way to see the bottom of the market is from the rear-view mirror,” Mygatt said.
But now that the election is over, buyer confidence should improve, said Mike Cox, a real-estate consultant with Re/Max Professionals Inc.
“Regardless of whether people like the results or don’t like the results, at least we know who the people are going to be,” he said. “It will take a little time to see how the whole bailout plan affects real estate. That will free up the money. The next thing we need to address is, will it be accessible?”
Margaret Jackson: 303-954-1473 or mjackson@denverpost.com
