Colorado Real Estate News

Denver Market Trends

As the Denver Metro market jumps headfirst into our spring season, the latest report from the Denver Metro Association of Realtors® (DMAR) paints a picture of optimism and activity as we transition into the (welcomed) warmer months of the year.

One of the biggest highlights of the report is the significant increase in new listings. March saw a strong 16.27 percent jump in new properties hitting the market compared to the previous month. While this represented a slight dip from the same time last year, it’s a clear indicator that sellers are feeling more confident about putting their homes up for sale.

Moreover, active listings at the end of the month also saw a healthy increase, up by 6.13 percent compared to the previous month and a striking 29.52 percent increase year-over-year. This uptick in inventory suggests that the market is gradually offering buyers a wider selection of properties to choose from.

Despite the increase in inventory, median close prices continued to rise, albeit at a more moderate pace compared to the double-digit spikes seen during the pandemic years. The median close price reached $595,000, representing a 3.48 percent increase. This steady appreciation in home prices reflects a more sustainable and stable market environment.

Buyers, too, are actively engaging in the market, evidenced by the swift pace at which properties are going under contract. The median days on the market fell by an impressive 52.17 percent from February to March, indicating that buyers are wasting no time in making their moves.

Pending sales saw a significant uptick of 31.94 percent, showcasing the eagerness of buyers to capitalize on the available inventory. While closed sales saw a more modest increase, it’s important to note that closed transactions are a lagging indicator, meaning that the impact of increased pending sales will likely be seen in the coming months.

One of the most encouraging signs in the report is the resurgence of the Luxury Market. Properties priced at $1 million or higher saw a notable increase in both listings and closed sales. Demand in this segment of the market continues to outpace supply, leading to a decrease in months of inventory to 2.77 months. This indicates a strong seller’s market in this segment, with properties selling relatively quickly as compared to other months leading into spring.

Looking ahead, there’s a sense of anticipation as we head into the spring and summer months. With increased inventory, growing buyer demand, and favorable market conditions, we can expect to see continued activity and potentially heightened competition. While interest rates may influence the pace of the market, the seasonality of real estate is sure to play a significant role in shaping the coming months.

Overall, with spring in full swing, sellers are feeling more confident, buyers are eager to make their moves, and the market is showing signs of strength. As we navigate through the season, optimism is high, promising what’s sure to be an interesting and fast-paced market in the months to come.

*Updated as of April 5, 2024