T
he Denver and Colorado Springs housing markets faced challenges in the first half of 2025, despite inventory levels reaching highs not seen in over a decade. In Denver, median home prices remained resilient at $640,000, but affordability issues persisted.

    Denver's seven-county metro area saw a significant increase in listings, with 18,870 homes available in June, an 18.7% year-over-year jump. This surge pushed inventory to levels not seen in 15 years, with buyers holding the upper hand due to increased negotiating power.

    However, new listings for single-family homes and condos fell, indicating that the inventory buildup is largely a result of homes staying on the market longer rather than a flood of new properties. More than 60% of closings included seller concessions, averaging over $10,500, as sellers adapted to attract limited buyers.

    For condo buyers, now may be a good time to purchase due to high inventory levels, but rising HOA fees, driven by increased insurance premiums, make owning a condo less affordable. In Colorado Springs, the market was described as "lackluster" and "stagnant," with more homes hitting the market year-over-year, but overall sales rose only 6.5%.

    The market is constrained in many price points, making it difficult to sell properties under $450,000. Affordability issues are a major problem, with median wages failing to keep pace with median prices. Despite these challenges, average and median sales prices reached historic highs in June, but the "bell curve" effect made it easier to sell higher-end homes while lower-end properties struggled to find buyers.