Is Now a Good Time to Home Buyer in Denver?

Denver Metro Area Real Estate Market Update 

By: David Schlichter 

1. Inventory is High, and Sellers are Motivated

The Denver real estate market is experiencing a significant imbalance between supply and demand. In 2025, there were 41.8% more homes for sale compared to 2024, but 0.4% fewer homes were sold. This shift creates ideal conditions for buyers, giving them more choices and greater negotiating power. With many sellers eager to receive offers, buyers are well-positioned to secure favorable terms on their home purchases.

2. Interest Rates Have Dropped

Mortgage rates have seen a meaningful decline. In October 2023, the average 30-year fixed mortgage rate was 7.63%. In September 2025, it fell to 6.26%.  For a $750,000 home purchase, that drop equates to over $550 in monthly savings or nearly $200,000 over the life of the loan. Homes are now much more affordable even if prices haven't fallen dramatically.

3. The Stock Market is at Record Highs

With the stock market reaching all-time highs in September 2025, many prospective buyers now have record-breaking purchasing power and liquidity to purchase a home. We don't know for sure whether or for how long the market will stay at these levels, but we do know that right now the stock market is presenting a fantastic opportunity for investors to take some cash out of the market and invest it in a home.

4. Seasonal Trends are Working in Buyers’ Favor

The Denver real estate market typically slows down in the fall and winter months, with buyer demand and sale prices typically peaking in early summer and hitting their bottom in the winter.  In most years, buyers who act in the off-season are able to find better deals. But this year, due to the current inventory surplus and reduced demand, the potential for savings is even greater.

5. This Opportunity May Not Last

As mortgage rates continue to fall and more buyers recognize the benefits of today’s market, the buyer-friendly environment seen today may shift back toward a seller's market, with bidding wars and offers above asking price becoming more common. Buyers who act now may be more likely to secure properties with favorable terms before the window closes.

If you’re thinking about buying a home sometime soon, my award-winning team and I would love to help. Contact me personally today to get the process started!

To view the Schlichter Team’s featured listings, click here.

Cheers,

David Schlichter 

Stats Sources: Federal Reserve Bank of St. Louis, REColorado, Yahoo Finance!