Maybe I should set my expectations a little higher. When I sent stats out a month ago, I was hoping we’d reach 105 single family sales in June. My prediction was that if we did, the rest of the summer would show normal sales activity. The thought process behind this was all about the gradual return to normal in sales activity because restrictions are being lifted and the overall strength of demand in our region. Well, instead of a 10% decrease, we had a 6% increase! Let’s see what else is happening in wonderful world of real estate stats.
It was perfect timing to open my monthly graphs templates and see the one I’ve been using in July for a few years now. I was excited because, with a review of sales fromthe entire 1st half of the year, compared to other years, we can get a grip on just how much this shutdown has affected the overall market. One can be forgiven this year for losing track of the numbers: +20% in March; -29% in April; -33% in May; and +6% in June…where does that leave us? In pretty good shape I’d say.
The blue graph shows the average price for the first half of each of the past 9 years. Over those years the average prices have increased nicely, but how would a global pandemic affect it this year? Well, it’s grown another 5.4% to set an all-time high. Would you have guessed this? Nobody outside the industry would have and I bet many inside wouldn’t guess this either. It’s true and I even checked the numbers twice. The only way it could be wrong is if I made the same mathematical error twice. The median price dipped ever so slightly last month and that was the first time a median or average price dipped at all so far this year. Prices are still setting record highs… in a global pandemic. Think about that for a sec.
What about sales totals? This is the same number as the # Sold YTD (Year-to-Date) in each of the stats areas, so you can compare all of them if you wish. To say we had the 2nd highest number of sales in the 1st half of 2020 over the past four years is an absolute astonishment. And we only missed the record by 2 units. If you think back to my April report, we’d just finished the highest 1st quarter in 6 years, so we came into this with some real strength and momentum. I’m confident the remainder of the year will continue to be strong especially with the tailwind of low interest rates.
The record average prices in Longmont and the near normal sales totals are even more astonishing when you look at the change in active listings. There were several homes that were taken off the market when lockdown began, then re-listed when things began to open up, so the total number of new listings this year is a little skewed. Now consider that the number of new listings this year, is still 10% fewer than at the same time last year. So, to have 2 fewer sales, with 10% fewer listings, in the midst of a global pandemic, simply defies logic. It also defines the strength of this market.
I’m just going to have to retire the market of the month award and engrave it with the Carbon Valley. I don’t know what’s in the water east of I-25, but if the Longmont market looks good, theirs looks great. Monthly sales are up 21%, yearly sales are up nearly 10%, days on market dropped, with median and average sales up slightly. All this success was accomplished with the struggle of fewer listings like the rest of the region. Oh, and they had the highest sales total and average price this year compared to the past four. SMH
Last thing. This caught my eye as I was pulling stats. Have you ever wondered the total value of all homes sold? Yeah, I know, not many of you think like I do. These are for Longmont only and for the entire 1st half of 2020. Last 3 stats for June:
Total Value of All Single-Family Homes Sold: $266,922,559
Total Value of All Attached Homes Sold: $56,665,186
Total Value of All Homes Sold in 2020: $323,587,745 (That’s 323 million!)(for 705 units)