Homeowners are cashing in on the residential property market in Denver, CO, as higher demand, home prices, and quick sales continue to make it a seller’s market.
A recent housing report revealed that sellers closed transactions in just 24 days, which is well below the national average of 47 days. On the other hand, home prices have risen as manifested by the higher required salary for buyers to apply for a home loan.
Buying or selling a property can be a complex process and sellers should consult a real estate attorney in Denver, CO, in case there are legal concerns. For instance, having legal counsel may clear your doubts about the lawfulness of setting a price higher than the average value on the market.
As demand remains strong, the city’s existing housing inventory continues to be slim with a 1.4-month supply of properties, as opposed to a 3.1-month supply nationwide. While it is indeed a good time for sellers to unlock the value of their investment, home buyers need to earn more as median prices in the city rose in the second quarter of 2017.
The National Association of Realtors said that the median home prices in Denver rose 7.63% between April and June year over year, amounting to $424,500. In August, prices for single-family units amounted to $410,000. If you like to make a 20% down payment on a property using a home loan, you need to earn at least $81,349, according to mortgage experts.
The minimum required salary increases to $95,341.87 if you wish to pay a 10% down payment. The required salaries in Denver led it to be the ninth most expensive metro area nationwide.
Property owners in Denver should consider putting their asset for sale, while buyers should work harder to afford a home loan for a median-priced home. Consulting a real estate attorney before making a decision is extremely important.