The Denver real estate market is off to an active but shifting start in 2025. While January is traditionally a slower month, we are seeing significant increases in new listings and rising inventory levels, creating fresh opportunities for buyers. However, closed sales and sales volume have declined, reflecting cautious buyer sentiment as mortgage rates remain a key factor in purchasing decisions.
For sellers, the numbers tell a story of a more balanced market, with homes spending more time on the market and competition increasing. Understanding these trends will be essential for buyers, sellers, and investors as we move toward the busier spring season.
Key Market Numbers for January 2025
Median Close Price: $575,000 (⬇ 0.51% month-over-month)
Closed Sales: 2,259 homes (⬇ 30.56%)
Sales Volume: $1.55 billion (⬇ 30.16%)
Months of Inventory: 3.4 months (⬆ 53.15%)
Median Days on Market: 45 days (⬆ 12.50%)
Active Listings: 7,688 (⬆ 11.61%)
New Listings: 4,339 (⬆ 135.43%)
Pending Sales: 3,061 (⬆ 31.83%)
What These Numbers Mean for Buyers & Sellers
For Buyers:
With inventory up 11.61% and new listings surging 135.43%, buyers now have more choices than they’ve had in months. The increase in months of inventory to 3.4 months suggests a shift toward a more balanced market, giving buyers more negotiating power.
Although mortgage rates are still a deciding factor, this market presents an opportunity to find the right home without the intense bidding wars of previous years. Additionally, with median home prices slightly lower month-over-month, buyers may find more value in the market.
Tip: If you’re planning to buy, now is a good time to start shopping before competition picks up in the spring. Work with an experienced agent to negotiate favorable terms and explore potential seller concessions.
For Sellers:
The number of homes sitting on the market is increasing, and the median days on market have risen to 45 days, up 12.5% from the previous month. This means homes are taking longer to sell, and strategic pricing is now more critical than ever.
Sellers should be prepared to price their homes competitively, stage effectively, and consider incentives to attract serious buyers. While demand is still present—pending sales increased 31.83%—buyers now have more options, meaning overpriced or underprepared homes may sit longer.
Tip: If you’re thinking about selling, consider getting ahead of the spring rush. Homes that are well-prepared, properly marketed, and priced competitively will stand out.
Luxury & Investment Market Insights
The luxury market remains strong, particularly in areas like Cherry Creek, Greenwood Village, and Castle Pines, where high-end homes continue to attract serious buyers. While pricing adjustments are happening across all price points, luxury properties that offer unique amenities and premium locations are still seeing strong demand.
On the investment side, increasing inventory and slowing price growth are creating opportunities for rental property investors to find deals. With homes staying on the market longer, some sellers may be open to creative financing or lease-to-own options, making this an attractive time for real estate investors.
Looking Ahead: What to Expect in Early 2025
Spring Market Activity: The number of new listings skyrocketed in January, signaling that sellers are preparing for a more active market in the coming months.
Mortgage Rate Watching: Buyers will continue monitoring rates closely, which will influence demand.
Increased Buyer Power: As inventory grows, buyers will have more leverage in negotiations.
Is 2025 Your Year to Make a Move? Let’s Talk!
The Denver real estate market is shifting, and whether you’re buying, selling, or investing, Corken + Company is here to help you navigate it with confidence. Our team offers the expert guidance and white-glove service you deserve.
📞 Call us at 303.858.8003
🌐 Visit us at www.Corken.co
Let’s make your real estate goals a reality in 2025!
