From The Denver Post:

Denver homebuilders seeing signs of a turnaround

 Builders in the Denver market were selling on average one home per community per month during the third quarter, said Jay Peterson, regional manager for Hanley Wood Market Intelligence. That's up from 0.7 homes a month during the same period last year.

Peterson also noted that cancellations are down 40 percent year-over-year.

"It shows more of a serious and intent buyer," he said.

Richmond American Homes reported 197 orders for new homes in Colorado in the third quarter, compared with 105 during the same time last year, said Zane DeHerrera, spokesman for MDC Holdings-Richmond American Homes.

"Back in the third quarter of '08, the capital markets froze," DeHerrera said. "That really impacted consumer confidence and slowed down lending tremendously."

Factors contributing to the increased activity include the first-time-homebuyer tax credit — which was recently expanded to include buyers who have owned their homes for at least five years — low interest rates and fewer existing homes on the market.

"We're definitely in the first stages of a real-estate recovery as it relates to residential," said Pat Hamill, president of Oakwood Homes. "We're starting to see values stabilize, inventories drop and people starting to feel good that this is the right time to buy because pricing has dropped significantly."