Q1 2025 NoCo Market Update
Stick a fork in 2024 and Bring on 2025!
2024 was a whirlwind of a year. The market seemed to change shape on a weekly basis, leaving many with a sense of uncertainty. As we recap last year, let’s look forward into 2025!
National Market Recap
When looking at the national statistics, there were drastic changes to the marketplace last year. According to the National Association of REALTORS (NAR):
- The median age of a first time home buyer in 2024 was 38 years old (up from 35 years old in 2023)
- Only 24% of the total home purchases in 2024 were first time home buyers (down from 32% the previous year)
- Only 6% of homes sold were FSBO (for sale by owner)
- 26% of transactions were all cash purchases
How did NoCo do?
A little further down in this email are some charts with data provided by IRES (the MLS for Northern Colorado). There are some very encouraging data points in it!
- All counties across NoCo saw year over year appreciation in home values (outside of Broomfield county which saw not change), with Weld County (1.4%) and Larimer (1.9%) showing a steady increase.
- The last column highlights a national trend – nearly 2/3 of all homes have greater than 50% equity with an average of 31% increase in home prices since 2020! If you purchased your home in the past few years and had PMI (private mortgage insurance), it may be a good time to reach out to your lender and see if you can get it removed! Have questions about how this equity can be leveraged? Let’s talk!
- 2023 was highlighted by a severe lack of inventory. Last year we saw this restriction loosen with 1.6% more closed sales across NoCo, and we anticipate more homes for sale in 2025.
What can we expect in 2025?
While no one has a crystal ball to tell us the future, we can use trusted metrics and analysis to give a reputable ‘forecast’ for the year (we all trust the weatherman in Colorado, right?).
- Mortgage interest rates are anticipated to stay in the 6s. There will be, of course, variability within daily rates, but experts predict the average rate starting with a ‘6’ for the majority of the year.
- Inventory levels will continue to rise as ‘pent up demand’ loosens. NAR’s prediction is for a 10% increase in closed sales nationally when compared to 2024.
- Median home prices will continue to rise, but not at the rate we saw in 2021-2023. Most experts anticipate national growth of 2%
You need a professional on your side that can give you accurate and concise advice, based on current trends and reliable data. I would encourage you to follow my social media channels (FB/IG/YouTube @caseybaker.realtor, links at the bottom of this email) as I regularly post on current topics to keep you informed in this fast paced market.
If a move is in the future for you or someone you know, whether buying, selling or both, give me a call!
As always, if you have questions, let’s talk!
All the best,
