Average Price of Condo Soars To Record High

DENVER-The average price of a condo sold and closed in Denver rose to a record $182,884, according to reports released this week. This marks the first time the average price of a condo has topped $180,000, according to reports released on the last week of each month. The Metrolist data is adjusted for the number of weeks in each month.

The previous record was set in May at $174,382. The year-to-date average of condos sold in the first half of the year of $175,113 also is a record.

Jerry McGuire, a broker with RE/MAX Professionals, tells GlobeSt.com that he suspects a few very expensive condo sales in June skewed the numbers. On the other hand, condos also provide an alternative for single-family homes, which hit an average price of $277,672 in June.

The median, or middle price, of a home was also a record at $230,164. However, the median price of a condo of $152,250 was not a record. The average is more likely to be affected by the mix of houses being sold than the median.

And Michael Kone, an economist and analyst for the locally based Genesis Group, said with mortgage rates at a 45-year low, it’s not surprising that condo prices are rising. Indeed, people who bought lower-priced condos at higher rates may have higher monthly payments than those buying them at today’s low rates, he tells GlobeSt.com.