The Denver market will grow this year, according to a rent report by Metrostudy, a national housing data and consulting firm.
Housing starts in the metro area for the first quarter ran 11% ahead of the same period last year. In addition, closings ran 5% ahead of last year, the first quarter-over-quarter increase in closings since 2006! “Metrostudy believes that the 5-year decline in new home closings has begun to finally level off,” said John Covert, director of Metrostudy’s Colorado division, “and that the annual closings pace will remain around its current level through the remainder of 2011″.
Traffic is up a staggering 47% through the first 3 moths of this year compared to last year when first time buyers were looking for a home before the expiration of the tax credit deadline. “This may be the best indicator of all that homebuilding will grow again, maybe sooner rather than later,”, according to Covert.
Good news, indeed!