I was updating my realty website and doing some research this week.
Local market statistics, which I have taken from the RGAR MLS, indicate some interesting things going on in our market. we use six months‘ inventory, or absorption rate, as the standard for a stable market. Less than six months’ inventory would be considered a SELLER’S MARKET and more than six months’ inventory can be considered a BUYER’S MARKET.

In Canon City, for instance, the market stats through the end of may indicate about 7 months of inventory of homes between $75,000 and $150,000, indicating a fairly stable market leaning toward a BUYER’S MARKET.

From there, the story changes dramatically. Between $150,000 and $250,000 the absorption rate is about 24 months,and for homes above $250,000, the absorption rate is about three years. There have been no homes sold in the MLS over $400,000 since December 2007.

The Penrose, Colorado market has not fared much better. A total of 23 homes sold year-to-date, 5 of those homes were over $250,000. During that time frame, 60 homes came on the market. For the year-to-date period ending May 31, the median sold price was $123,500. Average days on the market for sold properties was 162.

Mortgage interest rates are still very, very good, according to bankrate.com. The National average rate for a 30-year fixed mortgage (conforming) was 6.27%, down from 6.28% last week. Don’t expect that to last forever. With the mergers and acquisitions taking place in the United States, things could change for the worse very rapidly.