Demand exceeds supply of residential properties

The local residential real estate market is all about the inventory of homes for sale – or, better said, the lack of homes for sale.

The normal calculation is an average of the last 12 months of home sales divided by the current total listings to get a figure of supply. Generally a supply of six months is considered a balanced market. Less than a six-month supply gives the sellers an advantage, more than a six-month supply is considered a buyer’s market.

Using this formula, in the last 12 months in the four-county area (Boulder, Broomfield, Larimer and Weld), there were 18,447…