Pretty big and getting bigger. In the 7 County region including Douglas County but not Elbert) there are over 3.1 million people. And Denver CO has added 10.5% to its population since 2010. Not sure how many households 300,000 people is, but this is why we have a sellers market...because we don't have enough listings to match the demand and builders aren't building them fast enough. Who would have ever thought this was going to happen in 2010?
The inventory is lacking on all levels, but especially for first-time home buyers, which as defined in this article are buying homes averaging $212,500. Why isn't anyone building these types of homes anymore? Its hard to say...probably not as profitable. Its only 16.4% of our inventory, and its supposed to be 33%. They could go back to the good old days in Parker and Denver CO where they built entire streets at a time, and it wouldn't be enough. If you are selling this type of home you are in the drivers seat for sure. I have a buyer in this category and the homes we write offers on are usually getting 20-30 showings the first day, and 8-10 offers, and the winning offer is ALWAYS above the asking price...meaning prices are still going to rise unless this madness stops.
Yes, it is a current law. It will be interesting to see who ends up winning this fight. So its all about tax dollars vs. public preference.
So what does the Denver housing market look like if our current trends continue indefinitely? Of course the current trends are not sustainable, and here is why. We might be on our way to being the next Aspen.
Its an interesting phenomenon really, considering the fact that interest rates are still at historical lows. Despite this fact there are still many who can't qualify for a mortgage or simply don't want one. And once again, it proves that its a golden time to own a rental property in Denver CO! The percentage of renters is higher than ever. It could be a paradigm shift. As of 2014, 37.8 percent leased rather than owned, and that is a large number. It would suggest that 38% of the housing in Denver should be rental housing to support this.