The above graphic depicts a cumulative year to date summary of the overall real estate market in Colorado Springs. Unlike the vast majority of the country where the inventory of new listings has been declining, the COS market has seen a slight but steady increase. You can see that the number of new listings is up about a half percent for homes. What is even more astounding is that the number of new condo/townhome listings is up almost 10%. This has made it easier for buyers in the COS market.
Strong Sales Growth in the Colorado Springs Market
During March, April, and May, there was a lot of intense COVID slowdowns. The number of home sales certainly got a lot slower in COS during this time. However, since June, the market has been on fire. The number of sales completed and closed this year is up about 8% for homes and 12% for condos. It has been a strong year of sales growth in the market.
Where is the Market Headed now?
When looking at the average price so far this year versus the same period in 2019, you can see that the average home price is up about 13% and the average condo price is up about 10%. This is a bit more than the appreciation rate has been over the last few years in COS. From a broader historical context, if you go back about 40 years in COS, the typical appreciation rate would be somewhere around 5.5%. Currently, the market is sitting in the 11% range which is higher than normal. We do expect this to slow down a little next year. At the moment, there is definitely a shortage of inventory in COS, like most cities across the United States. From a negotiation standpoint, the sellers are very much in favor due to this. We do expect inventory to increase sometime in the middle of next year. Overall, this was an incredible year in the COS market.
Click here to watch a video and learn more about the COS market with Lon Welsh and please join one of our online webinar classes! If you are looking for active listings in the COS area, check out Shorewood Real Estate, Your Castle’s Colorado Springs operation.