Denver’s real estate rollercoaster continues — but 2025 is shaping up to be calmer than the pandemic boom-and-bust years. If you’re eyeing a home or considering a move, here’s what local experts and recent data say about prices, inventory, and what to expect this year.
Home Prices: Stabilizing After a Wild Ride
After spiking nearly 20% in some neighborhoods during the pandemic, Denver’s median single-family home price leveled out in 2023–2024. As of early 2025, the median sits around $580,000 — up just 2–3% from last year.
Condos are seeing modest gains too, averaging $420,000 across the metro. Higher mortgage rates have cooled demand, which means frantic bidding wars are no longer the norm in many areas.
Inventory: Finally Some Breathing Room
In 2020–2021, Denver’s biggest challenge was lack of homes for sale. Listings often got 10–20 offers in a weekend.
Today, the Denver Metro Association of Realtors reports inventory is up nearly 18% year-over-year, giving buyers more choice and leverage. Popular suburbs like Lakewood, Arvada, and Centennial have seen the biggest inventory jumps.
Builders have also added new single-family developments and townhomes, particularly in north metro areas like Thornton and Erie.
Interest Rates: Higher but Manageable
Buyers aren’t battling record-low rates anymore. Mortgage rates have hovered around 6.5% to 7% through early 2025.
While higher than 2021’s historic lows, they’re still well below pre-2008 averages. Many buyers now negotiate seller credits to buy down rates — a trend local lenders say is common in Denver’s more balanced market.
Rental Market: Steady but Not Dropping
Rents remain stable. A one-bedroom in central Denver averages $1,800–$2,200 a month. In hot neighborhoods like RiNo or LoHi, expect closer to $2,500. Suburban rents hover lower, with areas like Wheat Ridge or Littleton offering more space for less.
New apartment complexes continue to come online, helping to cap drastic rent hikes — but don’t expect big drops in 2025.
Should You Buy Now?
If you need a home and plan to stay for at least five years, local agents say 2025 is a reasonable time to buy. Prices are unlikely to plummet, inventory is decent, and you’ll have room to negotiate.
If you’re hoping to flip quickly or gamble on big short-term appreciation, it’s wiser to wait or rent while the market finds its post-pandemic balance.
Final Tip
Work with an agent familiar with neighborhood micro-trends. Cherry Creek won’t behave like Green Valley Ranch, and suburban pockets can offer hidden gems below median price points.
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