
2 minute read
Reflecting Back on 2021
LOOKING BACK ON 2021, AN UNPRECEDENTED YEAR
Hello, and thank you for taking the time to review The Slifer Report. Slifer Smith & Frampton, a Forbes Global Properties Founding Member, prides itself as the only real estate company in the Denver metro area that publishes a comprehensive set of quarterly statistics such as this. We hope you find the information helpful.
What a wild year 2021 was for Metro area real estate. Just when we thought it couldn’t get any wilder, 2021 unfortunately ended with the loss of 1,084 homes in Boulder County to the Marshall fire. An additional 149 homes were damaged. Meanwhile, residential inventory in the Metro area was at an all-time low of only 7,340 units available during the entire month of December. What a difficult blow to lose so much housing stock at once. Our hearts go out to those who were impacted by the fires as their task of locating replacement housing is extremely difficult now. Second homeowners are encouraged to reach out to Boulder authorities to offer those residences to those who may desperately need them now.
While the number of transactions went down by almost 1,500 in Metro Denver, sales volume went up by almost $5.5 Billion. The number of luxury home transactions over $1.0 Million increased by 33% while total sales volume of same increased by about 66%. Denver’s $1.0 Million and up market is experiencing unprecedented demand and price appreciation. In three short years, from 2018 to 2021, Denver’s luxury home market sales volume tripled, from $3.3 Billion, to $10.5 Billion.
Single Family Homes are in high demand during these pandemic times. Urban, suburban, rural and resort lifestyles are all options now, particularly as remote work continues to persist as an alternative for many. Urban condominiums experienced the softest pricing in 2021 yet continue to experience overall gains in value too. This is simply a function of not enough housing supply.
2022 promises to return more value gains as we begin the year with extremely low supply and high ongoing demand. Compared with many other markets, particularly coastal markets, Denver remains more affordable, and equity gains from those markets continue pouring into our market. We don’t see any substantial change in 2022 and we predict continued high prices, short selling times, bidding wars, and unprecedented equity gains.
It’s a great time to be a homeowner, or to sell a property. Buyers continuing to delay purchases in favor of “waiting it out” may wish to re-think that strategy. As we begin this New Year, one thing remains the same: Slifer Smith & Frampton provides our clients with the stability of a locally owned, communityoriented company that’s been in existence for 6o years.
May 2022 serve your housing wants and needs well.