As published in DMAR Market Trends, April 2023

Buyers are more hesitant to overpay for a home. Instead, they are getting more creative with offers by paying fees traditionally associated with the seller like title fees, portions of 2023 taxes and transfer fees.

Colorado homeowners, no longer protected by the Gallagher Amendment, face unprecedented increases in property taxes next year as the run-up in home prices during the pandemic works its way into the State’s tax base.

Senate Bill 77, Restrictions on Broker Engagement Contracts, passed. The bill was brought forth by the Colorado Association of Realtors® to protect homeowners from predatory right-to-sell schemes.

After peaking in early 2022 at about 15%, year-over-year rent growth continues to fall and is now about 4%.

Nationwide, new residential construction picked up due to builder optimism and lumber prices falling to pre-pandemic numbers, with housing starts up 18.4% and permits up 13.8% month-over-month.

Nearly half of seller’s agents (48%) reported that staging a home decreased its time on market, according to a new report by the National Association of Realtors®.

Baby boomers, the majority of which are repeat buyers with equity, now make up 39% of homebuyers (up 10%), surpassing millennials (28%) who had held the top spot since 2014.

The Realtor.com® economics team used historical data to determine that the week of April 16 through 22 will be the best time to sell in 2023.

MORTGAGE NEWS

The 30-year fixed mortgage rate saw some relief in March after jumping 1% in February, dropping from 6.94% to 6.57%. Federal Reserve Chairman Jerome Powell increased the Fed rate by 0.25% in March, stating we still have a long way to go to get to the 2% target inflation. Bank failures are tightening credit and may help the Fed fight inflation.