So, we dove into recent market dips to understand how our national market, Colorado market, and local Summit County market have fared in recent market waves.
The Dot Com recession around 2000 looks like a blip on the radar now, but was a downturn in Summit and Grand Counties, and Denver continued to appreciate.
During the Great Recession, which was triggered by the housing market, here are the stats:
- Summit dropped 18% between 2008-2013 and took 7 years to recover from the peak
- Denver dropped 27% between 2006-2008 and took 7 years to recover from the peak
- Grand dropped 40% between 2008-2011 and took 9 years to recover from the peak
During the very short COVID recession in 2020, real estate prices skyrocketed in all 3 markets.
As we entered the post COVID interest rate spikes, which technically weren’t a recession, here are the stats:
- Summit dropped 2.5% between 2022-2023 and took 1 year to bounce back up
- Denver has dropped 5.5% between 2022-2024, and we will see how long it takes to recover
- Grand dropped 2.5% between 2022-2023 and has remained flat in 2024
We will see how the macro-economic factors influence real estate, but for now I anticipate these lines will flatten out in the next year or two but will continue to find growth in the next 5-10 years.