Denver Metro Area Real Estate Market Update
By David Schlichter
Whether you are gearing up for the back to school routine, trying to squeeze in one more long weekend or trip, or just enjoying summer here in the Denver metro area, August is a month that tends to go by fast, and we hope you're able to make the most of it!
You'll notice this market update runs longer than usual. We've been watching a real shift build in the Denver market for a while now, and we wanted to take the time to actually explain what we're seeing and why it matters.
So how big of a shift are we talking about? The chart below shows the difference between the number of homes for sale and the number of homes actually selling here in the Denver metro area, going back to 2014. This July's gap was the widest we've seen all year, and the sixth-widest of any month since 2014.
Source: REcolorado, residential, all property types, 01/01/2014 - 07/31/2026, counties: Adams, Arapahoe, Broomfield, Denver, Douglas, Jefferson. (accessed 08/04/2026).
Read on to learn why we think this is one of the best times in a decade to be a buyer, and for our full market update. If there is anything our award-winning team can do for you, please reach out to us today to start the conversation.
Denver Metro Area: Market Report
The market continued along the same path it's followed for most of 2026: buyer activity is down, and homes are taking longer to sell than they did a year ago. The average sale price was $726,032 in July, up 5.0% year-over-year but down 2.1% from June, while the number of homes sold fell 3.9% year-over-year and 10.7% month-over-month.
The most up-to-date showing data suggests the average Denver listing is currently getting just 3-4 showings a month, even softer than the 4.8 average we saw in the July data, one more sign that buyer traffic is thinning out.
Mortgage rates are part of the story too. The 30-year fixed rate is currently at 6.69%, still below the 55-year historical average of 7.68%, but at their highest level in 2026. Though rates are higher than where they have been, because fewer buyers are competing for each listing, sellers are often glad to include a Seller Concession for a rate buy-down as part of a deal to lower a buyer's interest rate and monthly payment (something our team regularly pushes for on behalf of our buyer clients).
Source: Freddie Mac, 30-Year Fixed Rate Mortgage Average in the United States [MORTGAGE30US], retrieved from FRED, Federal Reserve Bank of St. Louis (accessed 08/06/2026).
If you're thinking about buying or selling a home, we're always happy to talk through your unique situation and help you come up with the right strategy. Contact us today to get the ball rolling!
Why Right Now May Be the Best Time in 15 Years to Buy a Home in Denver
If you've been waiting for a sign that conditions have shifted in buyers' favor, this is it, and it's a shift that's been building for a while now. Denver spent years as a strong seller's market with multiple offers, first-weekend sales, and bidding wars being the norm and not the exception. That started to change in the late spring/summer of 2022, became unmistakable through 2024, and has continued since, with additional pressures compounding along the way, from higher interest rates to rising foreclosure activity to broader economic uncertainty. It's important for sellers to realign their expectations accordingly, but this is a big-time opportunity for buyers.
If you're selling, it's worth remembering that the same conditions making your sale more challenging will work in your favor on the other side of the transaction for a purchase. More time on market, more room to negotiate, and more leverage for buyers all apply to you, too, when you go to purchase your next home.
By our count, there are at least ten distinct signals in the data right now pointing to the same conclusion, and taken together, they suggest this may be the best time to buy in Denver in about 15 years.
As of July, there were 12,857 homes for sale in Denver, nearly three times what was on the market five years ago. The last time pre-COVID that inventory was this high was 2012. Actual home sales, meanwhile, have slowed to about 62% of where they were five years ago. That combination, more supply and fewer buyers, is what's giving buyers more room to negotiate right now.
Price reductions hit 7,564 in July alone, more than three times the 2,329 we saw five years ago, a clear sign that sellers are getting hungrier to make a deal happen. Homes are also sitting longer: median days on market has stretched to 21, up from just 4 five years ago, and months of inventory (how long it would take to sell through all the current listings at today's pace, if no new ones came on the market) has climbed to 4 months, up from just 1 five years ago.
Pricing tells a similar story. Price per square foot is down to $264, off its 2022 peak of $300, and homes are increasingly selling below their original list price -- the closed-to-original price ratio is at 97.9%, compared to 103.3% five years ago when bidding wars regularly pushed sales above asking. Expired listings are up to 1,622 from just 398 five years ago, which adds real pressure on sellers who don't want their listing to lapse, and real leverage for buyers at the negotiating table.
Foreclosure activity is also rising, with Denver County on pace for 738 foreclosures this year, about 6.5 times the 112 we saw five years ago.
Seasonality adds one more layer of opportunity. The Denver market typically cools further heading into fall and winter, with prices and showing activity historically softening compared to spring and summer. If you're in a position to buy in the next several months, the odds favor better terms than you'd find if you wait for spring.
If you've been thinking about buying a home, we should connect as soon as possible. We'd love to help you make the most of these market conditions!
Source: REcolorado (residential, all property types, counties: Adams, Arapahoe, Broomfield, Denver, Douglas, and Jefferson) and denvergov.org (accessed 08/04/2026).
Denver Metro Area: July Market Stats
Included Counties: Adams | Arapahoe | Broomfield | Denver | Douglas | Jefferson
Source: REcolorado and ShowingTime, residential, all property types, July 2025 vs. July 2026, June 2026 vs. July 2026 (accessed 08/04/2026).
