Current inventory in Old Town Fort Collins is limited, especially in and around the current median price range of $320,000. There are currently 18 active listings, however, most of these listings are priced substantially above the Old Town median home price, are located in less desirable locations on busy streets, or will need work to make them move in ready.
There are quite a few very nice listings currently active in Old Town, and while they are priced above the median sales price, they are not necessarily overpriced. Quite a few of these homes are in move in ready condition and in very desirable locations, but are listed at a slower period of the year when less buyer activity has been present than in the last couple of months.
August saw a substantial decrease in total amount and sales volume of homes sold over July. In July of 2015, 21 homes were sold for a total volume of just over $8 million. Compared to August of 2015 where only 11 homes sold for a total volume of just over $5 million, a substantial decrease of buying activity can be seen just in those numbers alone. This decrease is not uncommon, however, as comparing sales volume/numbers in August 2014/2015 is very similar with 10 homes sold in August 2014 for a total of $3.2 million vs the 11 homes sold in August 2015 for a total of $5 million.
Days to Offer:
There certainly has been an increase in the days to offer seen in Old Town Fort Collins in the month of August. In July more than half of the homes sold were under contract in less than 14 days. This past August, only 4 homes were under contract in less than 14 days, with a few homes spending upwards of 70 days prior to going under contract. In general, the higher priced the home was, the longer it spent on the market prior to closing, which is not uncommon for luxury properties.
Conventional financing still dominated the Old Town market with 7 of the 11 homes sold being financed with conventional loans. These numbers are similar to the previous month where a majority of homes were also financed via conventional or FHA loans. Cash offers still existed, but at a smaller number than has been seen in the busy spring buying season.
List Price vs. Sales Price:
The large differences between list price and sales price has diminished recently as the amount of active buyers has decreased over the past month. Homes listed above $400K in Old Town still tend to settle for less than their listed price while those priced at or below the median sales price tend to sell over their list price. Some discrepancies in this generality exist especially with homes that were rental properties or are located on busier streets (IE 206 S. Shields St. and 404-406 S. Grant Ave).
The pool of active buyers seemed to decrease significantly in August as inventory still entered the market at spring buying prices. A large portion of properties that are currently under contract that will close in September or early October received price adjustments, including properties that were priced at or below the median home value. While overall supply still remains short, the demand from buyers has seemed to slow over the past month. Overall, this fall would be a good time for buyers to find a home to purchase with less pricing competition than would be seen for the same home purchase in March-June.
Overall, inventory is still short and balanced in favor of sellers. However, accurate pricing is key as buyers are still looking for a property with good perceived value. As a buyer, there may be opportunities to hold out for a better deal, but timing (not waiting too long to put in an offer) will still be critical in not missing out on a property. This months pending-sale inventory saw plenty of homes with price adjustments (nearly 75% of homes currently under contract had price adjustments prior to receiving an offer) showing that the market truly dictates pricing as opposed to the seller or realtor.
*Not all properties were listed and/or sold by 8z Real Estate. This data is based on content supplied by REcolorado, IRES, PPAR, and/or MLSListings. Content is deemed reliable but not guaranteed. Content may not reflect all real estate activity in the market.