Looking Beyond The Headlines
Local headlines and news outlets tend to reinforce the message that 2023 was a down year for home sales. Technically, they’re right. Last year saw a year-over-year decrease of 19.7% in sales of high-end homes (which represent roughly half of all sales in Boulder and Broomfield Counties). Sales in the $1-2M price range decreased by 23.8%, and sales of homes worth over $3M decreased by 12.7%. The only segment that increased last year was the $2-3M band, but at just 1.7% growth, that could be due to inflation.
While these numbers are significant, it’s wise to consider the bigger picture. This chart, which depicts almost a decade’s worth of data, suggests that the local market is not in decline but is tracking closely to historical trends. Clearly, 2021 and 2022 were outliers related to the pandemic, with sales and listing prices significantly above trend. But with the outliers removed, 2023 neatly aligns with the steady, balanced growth of years past. Don’t be surprised to see the trend continue in 2024.
Figures represent the total number of residential and attached units, $1M and up, sold in Boulder and Broomfield Counties for each year. Farm and ranch, vacant land, and other property types are not included. Source: IRES MLS and WK Real Estate