Durango Real Estate Market Update – October 2024
Welcome to your Durango Market Update for October 2024! Whether you’re a local or just keeping an eye on our real estate trends, here’s a quick snapshot of the latest statistics and what they mean for buyers and sellers in the Durango real estate market. Plus, stick around for some insights on interest rates at the end—there’s plenty of useful information to consider as we head into the winter months.
First off, if you aren’t local, you might be interested to hear that we saw our first snowfall at the end of October, and it looks like we’ll get more this week! The changing seasons might be shifting things in real estate too, so let’s dive into the numbers and see what’s happening in the market.
Durango Real Estate Market Trends: October 2024 Snapshot
Overall, average home prices have dropped a bit compared to October of last year, but the broader trend over the past 12 months shows an increase in values. It’s a classic case of a more balanced market as inventory levels rise and buyer demand cools slightly. While homes are staying on the market a little longer, we’re still seeing a healthy supply of listings compared to previous years—more in line with pre-COVID trends.
As expected, new listings slowed a bit in October (down to 90 from 115 in September), but we anticipate the luxury market will see more listings in November, following the recent dip in interest rates.
Let’s break down the key numbers from October:
Average & Median Sales Prices
– Average Sales Price in La Plata County for October 2024 was $893,711.
– This represents a 6.8% decrease compared to October 2023, indicating some cooling from last year’s market highs.
– Median Sales Price came in at $652,500, which is down 3.3% year-over-year.
These numbers reflect a slight softening in prices compared to last year, but when looking at the broader picture over the last 12 months, home values are still trending upward. Buyers should note that while prices may be lower than last fall, they are still significantly above the pre-pandemic norm.
New Listings and Active Listings
– 90 new listings hit the market in La Plata County in October 2024.
– This is an increase of 16.9% from October of last year, signaling that more sellers are coming to the market, possibly encouraged by the recent slight dip in interest rates.
This uptick in new listings provides more options for buyers who may have struggled with the low inventory levels over the past couple of years. It’s an encouraging sign of a more balanced market as inventory increases.
– There were 350 active listings in La Plata County as of October 2024.
– This is a 19.5% increase compared to the same time last year, showing that inventory continues to rise, giving buyers more choices.
Interestingly, we’re seeing the highest steady inventory levels since before the COVID-19 pandemic, indicating a shift towards a more balanced, healthier real estate market. This is good news for buyers, who are seeing more options, but it also shows that the market isn’t as competitive as it was in the past few years.
Days on Market
– The average days on market for homes in October 2024 was 94 days.
– This is an 8% increase from last year, indicating homes are staying on the market a little longer.
– However, this is down from September, showing some seasonal shift in the market.
Interestingly, homes in the $465,000 – $694,000 price range had the shortest time on market, with an average of 63 days. On the other hand, higher-end homes priced over $700,000 and lower-priced homes under $324,000 saw the longest days on market, averaging 113 and 106 days, respectively.
Sale-to-List Price
– Homes are selling for 98.4% of the list price on average.
– This is up just 0.8% from last year, indicating that sellers are getting very close to their asking price, but buyers have more room for negotiation compared to the highly competitive seller’s market of recent years.
There are still instances where buyers are negotiating, and we’re seeing more closing cost assistance in some transactions due to recent market changes (such as the NAR settlement). Sellers are generally holding firm on price, but it’s not as heated a market as it was in the past.
Inventory Levels & Months of Supply
– There is currently a 4.9-month supply of inventory in La Plata County.
– This is an increase of 16.7% from last year, but down from the previous month.
A 4.9-month supply of inventory suggests a more balanced market, where neither buyers nor sellers hold a clear advantage. A 6-month supply is typically considered a neutral market, so we are getting closer to that ideal balance. While we still have fewer homes for sale compared to pre-pandemic levels, the rising inventory is helping buyers have more options.
Looking Ahead: November & Beyond
As we move into November, we expect the luxury market to pick up again, with more listings likely coming onto the market. With interest rates still fluctuating, many potential sellers may be encouraged to list now before year-end, and some buyers may take advantage of the more stable interest rate environment.
We also anticipate that days on market will continue to trend upward slightly as the holiday season approaches, and buyers become more selective. If you’re considering buying or selling in Durango, the next few months may present an opportunity to find a deal before the year wraps up.
Interest Rates and the Durango Real Estate Market
Interest rates remain a key factor influencing the market. While rates have slightly dipped recently, we’re still seeing relatively high levels compared to the historic lows of the past few years. For buyers, this may mean locking in a rate now could be a smart move before rates rise again.
Sellers are also feeling the effects of higher rates, as buyers are more cautious and likely to negotiate more on price. It’s important to stay informed about interest rates and how they impact your buying or selling strategy.
Final thoughts: As we wrap up October’s market stats, it’s clear that the Durango real estate market is shifting into a more balanced phase. With increased inventory, longer days on market, and homes selling closer to list price, we’re moving away from the ultra-competitive market conditions of the past few years.
If you’re thinking of buying or selling in the Durango area, now is a great time to explore your options. As always, if you have any questions about the market or would like personalized advice, don’t hesitate to reach out. I’m here to help!
Stay tuned for next month’s update, and enjoy the start of the winter season in beautiful Durango!