While the number of Denver-area homes available for sale in July increased 30% from the previous month, it’s still far below normal inventory levels for a market of the Mile High City’s size.

That’s according to the most recent Market Trends Report from the Denver Metro Association of Realtors.

The report shows there were 4,056 single-family homes and condominiums available for sale at the end of July, up 29.92% from June but 37% down from July 2020. Realtors have said a market the size of Denver should have a healthy inventory level of 30,000.

The number of closings, meanwhile, dropped 12.3% from June to 5,820.

More homes available and fewer closings means the smoking hot seller’s market that’s defined 2021 eased up a bit for buyers last month, according to Andrew Abrams, chair of the Market Trends Committee.

“We all felt the deceleration. The last two weeks of June provided an opening for buyers squeezed out of previously purchasing properties through exceedingly tough competition,” Abrams said in the report.

“An increase in inventory and a decrease in sales volume are not uncommon in the transition from June to July. July represented the lowest number of active properties in July’s history with an inventory of only 4,056 properties,” Abrams said.

The highest level of July inventory in the metro Denver market came in 2006 with 31,989 homes available for sale.

The average sales price for single-family homes and condominiums dipped slightly from June, down 2.43% at $624,903. But that still represented a 16.4% year-over-year increase.

Single-family homes average price stood at $699,795, down 3.6% from June’s record of $725,278. The average price for condos stood at $442,949 in July, up 1.7% from June.

It took an average of nine days on the market to sell all single-family homes and condos, down a day from June. A year ago, homes spent 15 days on the market.

“Buyers will start having more time to review properties and less competition on offers overall,” Abrams said. “With continually low interest rates and less competition, fatigued buyers may start to reenter the market.”