DENVER — The Denver Metro Association of Realtors (DMAR) hosts its annual economic summit Thursday.
The group is set to discuss housing trends, the economy, employment numbers and businesses coming or going in the metro area, according to Amanda Snitker, chair of the DMAR Market Trend Committee.
DMAR recently released its market trend report for the year, and it shows the median sale price for homes was $590,000.
"Prices have not decreased in the median over the full year or compared to last year, but they're stabilizing. We're not seeing a huge growth like we saw in the pandemic years. It's kind of stabilizing out," Snitker said.
Economists thought we'd see mortgage interest rates drop in the second part of 2024, according to Snitker, but that's not what happened.
"I think a lot of buyers were holding off and waiting. They were waiting to get a better interest rate after coming out of so many years of a really low interest rate environment," she said.
Snitker said being in the 7% range right now is a shock for some and may take a while to process that we're likely not going back to the 3% rate we once saw. She adds if we're lucky, in the next couple years we might get down to the mid 5%.
"You're not comparing a six and a half percent rate to a 3% rate. You're really comparing a six and a half or 7% rate to something in the high fives, ideally, right, if we get to a point where it's a more comfortable environment for buyers," Snitker said.
Buying a home is individualistic to each person or family.
Snitker recommends renting if you're staying in the metro area temporarily, and buying a home if you plan to be here for a while.
"There are upfront costs in purchasing, and that takes time to kind of neutralize out in the growth of the value of your home. So if you're a temporary stay, get a nice apartment, have a good time, live up the Colorado life,"Snitker said. "If you're going to be here for a while, it is a benefit to purchase."