Current Real Estate Trends in the Denver Metro Area: Prices, Inventory, and What to Expect

The Denver metro area has always been a hot spot for real estate, but lately, the market has seen some interesting shifts. Whether you’re a first-time buyer, a seasoned seller, or just curious about what’s happening in your neighborhood, understanding the latest trends can help you make informed decisions. Let’s take a closer look at what’s driving the Denver market right now.

Rising Home Prices: Still Going Up, But More Slowly

If you’ve been following Denver’s real estate scene, you know that home prices have climbed steeply over the past decade. In recent months, though, the pace has started to slow. While prices are still edging upward—thanks to strong demand and limited supply—the double-digit annual gains we saw a couple of years ago have cooled to more modest increases of around 3-5% year-over-year.

What’s behind this change? Higher mortgage rates have made it tougher for some buyers to afford homes, which has eased competition just a bit. Still, Denver remains a desirable place to live, with plenty of people moving in for jobs, lifestyle, and the mountain views.

Inventory: Slowly Rebounding, But Still Tight

One of the biggest stories in Denver’s market is inventory—how many homes are actually for sale. For a long time, buyers were facing fierce competition due to a shortage of listings. This year, inventory has started to tick up, giving buyers a little more breathing room. However, the number of homes on the market is still well below historical averages.

Sellers who price their homes competitively are still seeing strong interest, but gone are the days of dozens of offers within hours. Buyers can now take a bit more time to weigh their options, though they’ll want to move quickly on well-priced properties in popular neighborhoods.

Who’s Buying and Selling?

The Denver market is seeing a mix of first-time buyers, move-up buyers, and investors. Many sellers are also buyers, looking to take advantage of their home equity to move to a larger space or a new neighborhood. Interestingly, some homeowners are choosing to stay put, holding onto their low mortgage rates from recent years.

What to Expect for the Rest of 2025

Looking ahead, most experts predict that Denver’s real estate market will remain stable. Prices are expected to rise moderately, and inventory may continue to inch upward as more homeowners decide to list. Mortgage rates will likely be the wild card—if they drop, expect a new wave of buyers to jump in.

If you’re thinking about making a move, now’s a great time to connect with a local agent who can help you navigate the nuances of this evolving market. Whether you’re buying or selling, understanding the trends will help you get the best outcome.

Have questions about a specific neighborhood or want a personalized market update? Reach out anytime—I’m here to help!