The Pulse Of The Real Estate Market

Friends,

We have discussed in past communication that June activity has been a little slower than the active spring market, but we continue to outpace the previous year in the number of properties sold.  Year to date through June 28th, there have been 456 residential properties sold in La Plata County as compared to 349 last year, a 30% increase.  The median price for this year's properties is $315,000 versus $289,500 for last year, an 8.8% increase.

As of this moment there are 179 properties that are under contract with a median price of $309,000 in La Plata County.  It looks like the initial burst of higher prices may have plateaued, as the median price for properties that will sell in the next 30-60 days appears to be a little lower than those that have closed in the first half.

As of today, there are 827 active listings in La Plata County that are not under contract.  This still makes the entire County a "buyers market" based on the amount of inventory.  Of course, in the neighborhoods in the lower price ranges close to Durango, we are in a balanced market and in some cases, a sellers market.

There are a couple of concerns for our summer market:

This morning, Durango is full of smoke.  The fires through the region may have an impact on visitors to the area, and of course, we continue to pray for rain and that we won't have the destructive fires in our area.  You can imagine the economic  impact that has affected South Fork.

Second, interest rates are up more than 1%.  This is a huge change for a buyer, as it has a 10% change in their affordability on an 80% loan to value.  For example, if a buyer could afford a median priced home of $315,500 one month ago, they can now only afford a home priced at $283,950.

Have a great 4th of July!

Don

Don Ricedorff, Broker Associate, GRI, CRS, CCIM, ABR, RSPS, CDPE

The Wells Group Real Estate Brokerage

E-Mail:  don@durangorealproperty.com

Direct:  970-375-7014

Fax:  970-259-5007

Web:  www.DurangoRealProperty.com