Tracking real estate market activity each month allows us to compare to past data so we can get a good sense of what is really happening in the market, which helps us best serve our clients.
In February 2024, there were a mere 36 residential properties sold. This has been the 2nd lowest number of sales in a single month for over a decade. The primary factor contributing to this is the extremely low inventory; as of February 29th, there were just 202 active residential listings in La Plata County. While this has been even lower in the past (below 100 in 2022), this is far below a balanced market’s supply. Of the 202 active listings, over one third are priced above $1,000,000. Of the sold listings, $500,001 - $600,000 is the largest category. Both of these popular price categories are seen again in pending listings with $500,001 - $700,000 and $1,000,001 - $1,500,000 making up half of the under contract listings.
So far in 2024, the median price in La Plata County decreased 10.7% from last year, now at $570,000. The average has also decreased by 15.25% year over year to $693,327. We attribute this to the small number of sales and the type of product that has been on the market during the winter months. The average and median days on market tell us that the market is moving more slowly; with an average of 121 days on the market and a median of 109, this pace more closely matches what we experienced prior to Covid. This gives buyers time to feel more confident about their decision before submitting an offer. This is also important for sellers to know so as not to panic when they don’t get an offer on their home right away.
We believe that, given the very low inventory, now is a great time to sell because the listing will get much more exposure and attention with less competition. Despite the lower number of sales, there is still a lot of demand for Southwest Colorado homes. As the year progresses, we anticipate mortgage rates will settle into the 6-7% range, which will be the new normal. Moving into spring and summer, we expect listing and sale activity to rise; we typically see inventory increase in April and May.
Please let us know how we can assist you on your real estate journey. Do not hesitate to contact us with any questions about buying or selling in SW Colorado.
