DENVER | The Colorado Association of Realtors says home sales have been increasing across the state and prices have been rising.
The Denver Post reports (https://dpo.st/1Q7MYf1 ) that there were 6,617 single-family home sales in December, up 21 percent from November and 10.6 percent from December 2014. Townhome and condo sales were also up.
Prices have also increased. The median home price hit $305,000 in December, 9 percent higher than the 2014 average. The median condo price increased 14 percent.
But analysts for the Colorado Association of Realtors are concerned that the supply of for-sale homes has dropped to a five-year low.
A report from the realtors’ association says metro Denver has only a 1.4 month supply of single-family homes and less than a month’s supply of condos.
A five to seven month supply is considered a balanced market.
The senior homestead property tax exemption with its 10-year requirement is counterproductive in that it encourages seniors to age in place in a home that’s either too big or unsuitable, such as a two story home where the senior homeowner is mobility impaired. The 65 age requirement should remain, but take away the 10 years of continuous habitation as a primary residence. More single family homes would then become available for younger people starting families. Many seniors would love to downsize but don’t want to give up the tax break.