Denver Housing Market: Prices, Trends, Forecast 2024 – Norada Real Estate Investments

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The current trends suggest that the Denver housing market is experiencing a shift towards a buyer’s market, with a decline in closings and an increase in standing inventory. Buyers have more options, and homes are spending more time on the market, allowing buyers to carefully consider their decisions.

In November, median home prices experienced a 3% month-to-month decrease, and nearly half of the homes that closed had a price decrease. This indicates a market where buyers have gained more negotiating power. Considering the seasonal decrease in buyer activity and the potential for increased activity as mortgage rates normalize below 7%, it could be seen as a favorable time for buyers.

Buy/sell, rent/lease residential &
commercials real estate properties.

The market conditions, including longer days in MLS and a decrease in median home prices, suggest that buyers may find opportunities in the current Denver housing market.

How is the Denver housing market doing currently?

Buyer Activity and Closings

According to the data by REcolorado, buyer activity experienced typical seasonal decreases approaching the winter months. Closings were down by 9% compared to the previous year, marking the third consecutive month of month-to-month decreases. Despite this, home buyers executed contracts on 2,678 listings, reflecting a 3% increase from the previous year. Economists anticipate a surge in activity as mortgage rates normalize below 7%.

Standing Inventory

The standing inventory, representing the number of homes actively available for sale at the end of the month, has nearly reached pre-pandemic levels. Homes are spending more time on the market as buyers carefully evaluate their decisions. In November, homes were active in the REcolorado MLS for more than 3 weeks before a contract was secured.

Median Home Prices

While median home prices remained relatively stable during the second part of the year, November saw a 3% month-to-month decrease. Approximately half of the homes that closed in November had a price decrease, with homes closing at a median of 3% less than their original list price. This shift indicates buyers gaining more leverage in the market.

Leased Properties

In November, 282 properties were leased using REcolorado MLS, marking a 23% increase from the previous year. Median leased prices remained stable, and 454 new rental listings were added throughout the month, resulting in 671 rental properties available at the close of November.

Number of Closings

The number of listings that closed in November was 9% lower than in November 2022. Additionally, compared to the previous month, the number of closings dropped by 11%, marking the third consecutive month of decline.

Median Closed Price

In November, the median closed price of a Denver Metro area home was $565,000, slightly more than 1% higher than the previous year. However, prices experienced a 3% decrease from October to November.

Days in MLS

Homes spent 24 days in the MLS in November, reflecting a 2-day increase from the previous year. Compared to October, homes were available in the MLS one week longer.

New Listings

Denver Metro home sellers brought 2,703 fresh listings of homes for sale in November, representing a 1% increase from the same month the previous year. However, the number of new listings continued to see seasonal cooling, decreasing for the third consecutive month.

Market Segmentation

The market, including Multi-Family/Condo/Townhomes and Single-Family Residences, saw the most homes sold in the $500-$600,000 price range. This price range also witnessed the largest number of new listings entering the market in November. Homes priced $2 million or more spent more than 2 months on the market, with other price ranges spending between 17 and 30 days actively available before pending sale.

Released by REcolorado, the housing market trends in the Greater Denver Metro Counties, including Adams, Arapahoe, Boulder, Broomfield, Clear Creek, Denver, Douglas, Elbert, Gilpin, Jefferson, and Park, provide valuable insights into the dynamics of the real estate landscape.

Rental Market Stats

In addition to the sales market, the rental market in November also displayed noteworthy trends:

Leased Properties and Median Leased Prices

In November, 282 properties were leased using REcolorado MLS, marking a 23% increase from the previous year. However, this was 4% fewer than the previous month. The median leased price remained flat compared to the previous year, with the median leased price per bedroom down by 2.5%.

New Rental Listings and Active Rental Properties

Throughout November, 454 new rental listings were added to REcolorado MLS. At the close of the month, there were 671 active rental properties available in REcolorado MLS, representing a 13% increase from the previous month.

ALSO READ: Colorado housing market forecast & trends

Denver Housing Market Forecast 2023-2024: Will it Crash?

What are the Denver real estate market predictions for the next twelve months? Denver has a track record of being one of the best long-term real estate investments in the U.S. Denver’s strong economy gives buyers the ability to spend more on housing, consequently increasing real estate prices. Home values have risen so much over the past six or seven years that affordability has become an issue for a person earning the median income in this area.

Current Market Statistics

According to Zillow, the average home value in the Denver-Aurora-Lakewood area stands at $566,690, indicating a 0.7% decrease over the past year. Homes in this region typically go pending in around 20 days, reflecting a competitive and dynamic real estate environment. This data is comprehensive through November 30, 2023.

One-Year Market Forecast for Denver

Looking ahead, the market forecast for the next year, until November 30, 2023, predicts a 1.8% decrease in the average home value. This projection suggests a potential adjustment in the real estate landscape, highlighting the importance of considering market trends for informed decision-making.

Inventory and New Listings

As of November 30, 2023, the market inventory consists of 9,724 homes for sale, providing a snapshot of the available options for potential buyers. Additionally, 3,140 new listings entered the market during the same period, contributing to the overall housing stock.

Sale Price and List Price Metrics

Key metrics related to sale prices and list prices offer further insights into the Denver housing market:

  • Median Sale to List Ratio (October 31, 2023): 1.000
  • Median Sale Price (October 31, 2023): $564,000
  • Median List Price (November 30, 2023): $611,233

The median sale to list ratio of 1.000 indicates a balance between sale and list prices. The median sale price and median list price provide benchmarks for evaluating the affordability and market value of homes in the Denver-Aurora-Lakewood area.

Market Dynamics: Sales Over and Under List Price

Examining the market dynamics, the data as of October 31, 2023, reveals:

  • Percent of Sales Over List Price: 30.7%
  • Percent of Sales Under List Price: 45.0%

This indicates that a significant portion of home sales (30.7%) in October 2023 occurred over the list price, emphasizing the competitive nature of the market. Simultaneously, 45.0% of sales were under the list price, reflecting diverse pricing strategies and negotiation dynamics.

Will the Denver Housing Market Crash?

Considering the forecasted 1.8% decrease in the average home value, there is an indication of potential market adjustments. However, it’s essential to approach this data with a comprehensive understanding of various factors influencing the real estate landscape. Market conditions, economic factors, and buyer behavior all play roles in shaping the housing market.

Denver Housing Market Forecast 2023-2024: Will it Crash?
Source: Zillow

Is Denver a Good Place to Invest in Real Estate?

Should you consider Denver real estate investment? You need to drill deeper into local trends if you want to know what the market holds for real estate investors and buyers. Denver is ranked as the country’s 16th-most walkable city, with 600,158 residents. It has some public transportation and is very bikeable. Downtown is the most walkable neighborhood in Denver with a Walk Score of 93.

As per, a real estate data provider, one and two-bedroom single-family detached are the most common housing units in Denver. Other types of housing that are prevalent in Denver include large apartment complexes, duplexes, rowhouses, and homes converted to apartments. Single-family homes account for about 40-45% of Denver’s housing units.

Denver ranked 13th for overall real estate investment and development, according to some 3,000 industry professionals surveyed and interviewed by the Urban Land Institute and PwC. Survey respondents viewed Denver’s housing market even more favorably, collectively ranking it ninth overall.

Of greater importance to real estate investors in Denver is that the area is growing in population. The jobs are increasing and so are the number of renters. It is the largest and capital city of Colorado, home to roughly 700,000 people. The Denver metropolitan area is home to around 2.7 million people. The population has increased by 1.33% since 2019. The Denver-Aurora, Colorado statistical area is home to about three and a half million people.

It has a low unemployment rate of 3% unchanged from 3.30 last month and down from 6.70% one year ago, according to the U.S. Bureau of Labor Statistics. A third of the population of the Denver metro area rents. All these are excellent signs of investors looking to buy a rental property in Denver. Despite the recent cooling off, there are several reasons to consider a long-term investment in the Denver real estate market.

Shortage of housing for a growing population, a strong economy & increasing jobs have been fueling the demand in the Denver housing market for the past many years. Denver is a key trade point for the country, and home to several large corporations in the central United States. It was named 6th on Forbes Magazine’s “Best Places for Business and Careers.” Denver South is home to 7 Fortune 500 companies. It is also home to mining and energy companies such as Halliburton, Smith International, Newmont Mining, and Noble Energy.

Let’s take a look at the number of positive things going on in the Denver real estate market which can help investors who are keen to buy an investment property in this city. We’ll address the biggest factor pulling people to the Denver housing market next.

How Was the Housing Market in Denver Last Year?

Two halves define 2022. According to DMAR’s year-end report, low inventory drove the fast-paced housing market to record prices in the first half of the year. As economic conditions worsened in the second half of the year, many homebuyers reconsidered or delayed their purchase. Housing was decent in 2022.

Supply and demand determine market values. 1,184 active postings began in 2022. February had 1,226. Monthly new listings affect inventory levels. 2022 saw 60,164 new listings, 9.3% fewer than in 2021. New listings fell in 2022. Like new listings, closed transactions fell from 2021’s record 64,105. 50,743 closings were 20.84% lower than last year.

Why are fewer homeowners selling? Most homeowners refinanced below 5%. The homeowner suffers in a higher mortgage rate environment. If you sell with a 3.5 percent mortgage, the new mortgage on the replacement house may be over six percent. The extra cost will burden homeowners. Months of inventory is another market indicator. MOI analyses supply and demand for active and closed listings.

A low MOI indicates a tight supply and gives sellers the advantage. This has been the Denver housing market since 2012. 2022 averaged 1.26 MOI. The lowest MOI was 0.56 in 2021. January’s 0.42 MOI compares considerably with December’s 1.75 MOI. Balance? Does the four-to-five-month balanced market criterion still apply? Buyers have the upper hand due to historically low inventory. Two-to-2.5 months may be the new standard. Does balancing feel like this?

Freddie Mac’s primary mortgage market survey reported a 2.96 percent 30-year fixed rate in 2021. We finished 2022 at 6.42 percent, up 3.46 points in 12 months, reaching 7.08 percent in October and November. Higher rates induced buyer payment shock and slowed activity. 2022 indicates a market in transition from highs to lows. The average closing price reached a record $721,767 in April but dipped to $637,852 in December.

The median closing price was $616,500 in April and $554,990 in December. In 2022, the median closing price was $588,000, up 12% from last year. MLS days set new lows. MLS averaged eight days in April, but 43 days in December. February through May had MLS median days of four, and December had 30. Despite the feeling, 2022’s Denver housing market was good.

A third of the Denver metro area rents. Since housing inventory is scarce, prices are going up much faster than wages, and the younger population is more comfortable renting than owning, the Denver housing market is seeing a rapid rise in its rental market. The sheer demand for housing stock is making it profitable to break up large homes into multiple apartments.

Denver remains more expensive than other Colorado cities, including Fort Collins and Colorado Springs, and other major metro areas such as Phoenix and Charlotte, but considerably below California-based rent leaders and more. If Forbes could recommend this as a Denver real estate market investment strategy in 2016, it can be seriously considered today.

They said that any single-family home in the Denver housing market could be considered a good rental property due to the rapid rise in home prices. Denver Has A Large Student Population For Rental Homes. The college market presents a unique opportunity for landlords. There is a constant stream of people who will only rent unless they choose to stay after graduation. They may rent a while longer before feeling secure enough to buy a house.

Buying investment real estate in a college town is high risk. After all, when a college like Evergreen State scares off students or simply fails to attract them like many classics, private liberal arts schools that found themselves rendered redundant after brand-name schools opened their doors, there’s less demand for the rental of the house as a permanent residence.

You don’t have that problem in Denver since there are so many colleges in the Denver area. Schools range from the massive community college network to the 400-student Bel-Rea Institute of Animal Technology. American Sentinel University in Aurora is home to 2600 students, while the Metropolitan State College of Denver has more than 20,000 students.

The Colorado School of Healing Arts has only 100 students, while Colorado Christian University has more than 7000. Yes, the Denver real estate market for those who want to cater to students is diverse. You could invest in rental real estate near any of these colleges, knowing you could rent or sell to people that simply want to live in the area if student demand slacks off.

Denver Rent Prices Are Going Up

Dense urban areas are seeing weaker rental prices and drops in average rents, while some suburban sunbelt areas project small increases in rents. The main reason is working people relocating to less expensive and less dense areas. The November 2023 Rent Report from Apartment List reveals that Denver rents decreased over the past month.

Currently, the overall median rent in the city stands at $1,586, after falling 0.8% last month. Prices are now down 0.6% year-over-year. Denver’s rent growth over the past year is similar to both the state (-0.6%) and national averages (-1.2%). Ten months into the year, rents in Denver have risen 2.7%. This is a slower rate of growth compared to what the city was experiencing at this point last year: from January to October 2022 rents had increased by 4.7%.

Denver is the #35 most expensive large city in the U.S., with a median rent of $1,586. Citywide, the median rent currently stands at $1,414 for a 1-bedroom apartment and $1,750 for a 2-bedroom. Across all bedroom sizes (ie, the entire rental market), the median rent is $1,586. That ranks #35 in the nation, among the country’s 100 largest cities.

The “Zumper Denver Metro Area Report” analyzed active listings last month across the metro cities to show the most and least expensive cities and cities with the fastest growing rents. The Colorado one bedroom median rent was $1,528 last month. Boulder was the most expensive city with rent priced at $1,880 whereas Greeley was the most affordable city with one bedrooms priced at $1,130.

These cities look good for rental property investment this year as rents are growing over there.

The Fastest Growing Cities For Rents in the Denver Metro Area (Y/Y%)

  • Golden had the fastest growing rent, up 8.8% since this time last year.
  • Greeley saw rent climb 7.6%, making it second.
  • Longmont ranked as third with rent increasing 6.3%.

The Fastest Growing Cities For Rents in the Denver Metro Area (M/M%)

  • Westminster had the largest monthly growth rate, up 2.4%.
  • Boulder & Wheat Ridge rents climbed 2.2% last month, making them tied for the second fastest growing.
  • Castle Rock was third with rent increasing 1.1%.
Denver rent pricesDenver rent prices
Source: Zumper

Denver Is Relatively Landlord-Friendly

Colorado is relatively landlord-friendly; compare it to the West coast, and it is a landlord’s dream. You don’t have to give tenants notice that you’re entering a property. You can quickly begin evictions if they haven’t paid the rent. That protects your investment in the Denver housing market. There’s no limit on late fees.

There are no state laws that prevent you from rekeying the locks after evicting them. If they violate the lease, give them formal notice. The tenants then have 72 hours to correct the issue or move out. If they don’t comply with notices, then you can go to court. If the court agrees with you, the sheriff gives the tenants 48 hours to move out before forcing them out.

Denver’s Limited Room to Grow Keeps Housing Supply Tight

Many of the fastest-growing markets in the US are along the Front Range, a part of the Southern Rocky Mountains. While there are houses in the hills, it is a lot harder to build on the mountainous landscape than on flat plains. In Denver’s case, the massive national forests and Rocky Mountain Park to the west of Denver and its suburbs prevent the expansion of the Denver housing market in that direction. This keeps home prices higher than they’d be in places like Dallas.

The residential median home price in Denver hovers around $530K. That’s a steal for the migrants from California, but the sheer numbers of them coming in is pricing locals out of the housing market. The median monthly rent here – and that includes one-bedroom apartments – is around $1100 a month. Note that you could get much more for a spacious single-family home for rent or a large condo. With a 3 bedroom detached single-family home, you could receive well over $2000 per month in rent. You’ll find strong ROI numbers for the Denver real estate market.

Denver’s Quality of Life

We can joke about the people who moved to Colorado decades ago, inspired by the movie “Rocky Mountain High”. We’re not going to joke about the overhyped medical marijuana industry there today. U.S. News & World Report published its list of the “150 Best Places to Live in the U.S.,” and four of the top five cities are right here in Colorado: Boulder (1), Denver (2), Colorado Springs (4), and Fort Collins (5). Denver was the second-best city to live on that list.

The area was a little lower in value than many like, but it ranked high on jobs, quality of life, and desirability. It is a beautiful city to live near the mountains – located on the western edge of the exquisitely beautiful High Plains. It is exactly one mile high above sea level and has the largest city park system in the nation, with 14,000 acres of mountain parks and 2,500 acres of natural areas.

That isn’t enough on its own to draw huge numbers of people to the Denver real estate market, but it is a factor. It has become the 19th most populous city in the nation. The metro area population of Denver (as of 2020) is 2,827,000, a 1.33% increase from 2019 (

Denver was ranked as a Beta world city by the Globalization and World Cities Research Network. It has been one of the fastest-growing major cities in the United States, and real estate investments provide a direct way to participate in the strong growth of these economies. The strength of the overall economy significantly impacts the real estate market.

Denver’s Strong Economy & Jobs Boost Its Housing Market

Job growth directly affects the real estate market. Demand for all types of real estate increases with the number of local jobs, as during periods of economic development or boom. Jobs are a major reason why people move to Denver in the first place. Denver’s unemployment rate has been well below the national average for years.

The BLS reported that the unemployment rate for Denver rose 0.1 percentage points in September 2022 to 3.3%. For the same month, the metro unemployment rate was 0.1 percentage points lower than the Colorado rate. The unemployment rate in Denver peaked in May 2020 at 12.6% and is now 9.3 percentage points lower. From a post-peak low of 3.2% in August 2022, the unemployment rate has now grown by 0.1 percentage points

Forbes ranked Denver as the number one Best Place for Business and Careers in 2015. Additionally, the magazine placed Denver 16th for employment growth and 20th for education. When one considers the huge oil and government sectors, as well as the rapidly expanding aerospace and technology businesses, it’s no surprise that Denver is seeing such a big job boom.

The National Renewable Energy Laboratory contracts for research and development while companies such as Halliburton profit from a profitable oil play. Aerospace and technology positions are available at Ball Aerospace, Raytheon, and Lockheed-Martin, whilst software engineers are in demand at Rocket Software, StorageTek, and Sun Microsystems.

That explains why Denver is one of the top cities for in-migration, attracting people from all over the state as well as the country. Due to its proximity to the mineral-rich Rocky Mountains, Denver has long been a home for mining and energy companies such as Halliburton, Smith International, Newmont Mining, and Noble Energy. The top 25 employers in Metro Denver include government and municipal organizations, and corporations.

Denver Technological Center, better known as The Denver Tech Center or DTC, is a business and economic trading center located in Colorado in the southeastern portion of the Denver Metropolitan Area, within portions of the cities of Denver and Greenwood Village. It is home to several major businesses and corporations.

The U.S. Government is the largest employer in Metro Denver. The Department of the Interior includes such agencies as the Bureau of Land Management, Office of Surface Mining and Reclamation, and Bureau of Reclamation, and all have offices in or near the Denver Metro area. Another top employer in the Denver Metro Area is the State of Colorado.

It employs nearly 30,000 people in the Denver Metro area. As the capital and largest city in the state, Denver hosts the State of Colorado in multiple locations. Centura Health is one of the top 25 employers in the metro Denver area. Its massive healthcare network includes 15 hospitals, eight affiliate hospitals, health neighborhoods, health at home, urgent care centers, emergency centers, mountain clinics, 100-plus physician practices, clinics, and Flight for Life Colorado.

Denver is well known for its proximity to the Rockies. Other attractions in the area include but are not limited to the Denver Zoo and the Denver Botanic Gardens. Many of those 30 million tourists would love to have rented a house or apartment for their visit instead of a hotel. Then there’s the business traveler. Denver hosts around 80 conventions a year, too.

Whether someone is staying for a week for a convention or working a contract job in the tourism industry, this drives demand for short-term rentals that can be incredibly profitable. Renting on sites like Airbnb is legal if you have a business license, though around half of the Airbnb rentals are thought to be violating that rule. Denver is particularly progressive in allowing people to rent out their homes and apartments on Airbnb, though landlords may not agree with it.

Known Areas of Redevelopment

You don’t want to invest in the Denver housing market and end up losing money because the neighborhood is going downhill. Conversely, areas slated for redevelopment will almost certainly go up. And Denver has known and planned for areas of redevelopment. Downtown Denver saw multiple infill projects downtown ten years ago. Redevelopment is planned around Elitch Gardens today.

Key trade point for the country – Denver is home to several large corporations in the central United States. Denver South is home to 7 Fortune 500 companies. Denver was named 6th on Forbes Magazine’s “Best Places for Business and Careers.” Home for mining and energy companies such as Halliburton, Smith International, Newmont Mining, and Noble Energy.

Denver’s Demographic Momentum

At first glance, the average age of 36 for residents versus 40 for the national average doesn’t sound too promising. However, this long-established city has already been noted as a great place to retire. That pulls the average age up. The coolness factor and job market attract equal numbers of young adults. That is why Millennials make up about 22% of Denver’s population. And given the job market and quality of life, they’ll probably stay here to raise families, generating more demand for the Denver housing market.

Generation X made that decision, too, which is why roughly a quarter of residents are under the age of 20. Additions to the local labor force tend to drive rents and prices up on properties in the vicinity and result in the local construction of homes and apartments. That will propel the Denver real estate market for decades to come.

Denver Colorado Real Estate Investment Markets

Investing in Denver’s real estate can be a worthy investment due to a steady rate of appreciation. There are many reasons why the Denver real estate market is going strong today and is certain to remain strong for years to come. You cannot afford to miss out on this growing and appreciating real estate market. Good cash flow from Denver investment properties means the investment is, needless to say, profitable.

On the other hand, a bad cash flow means you won’t have money on hand to repay your debt. Therefore, finding a good Denver real estate investment opportunity would be key to your success. Even as Denver home prices have reached new heights, the market remains attractive to residential real estate investors in the $300,000 to $399,000 price range. As they continue to compete for potential investment properties at the lower end of the market, the challenges for first-time homebuyers will remain.

The homebuyers won’t be able to outbid real estate investors and would end up renting. The high prices combined with the lack of higher gains have slowed down fixing and flipping investment properties in Denver. The best investment is now looking for a rental property that will generate good cash flow. Your best tenants would be the retirees who intend to relocate to Denver and want to purchase property to rent out. The three most important factors when buying real estate anywhere are location, location, and location.

The location creates desirability. Desirability brings demand. There should be a natural and upcoming high demand for rental properties. Demand would raise the price of your Denver investment property and you should be able to flip it for a lump sum profit. The neighborhoods in Denver must be safe to live in and should have a low crime rate. The neighborhoods should be close to basic amenities, public services, schools, and shopping malls.

Some of the popular neighborhoods for buying a house or an investment property in Denver are Jefferson Park, Berkeley, Park Hill, Cheesman Park, Congress Park, Hilltop, Sunnyside, Capitol Hill, Highland, Platte Park, Stapleton, Reunion, Cherry Creek, Aspen, and Washington Park.

Denver housing prices are not only among the most expensive in Colorado but they are also some of the most expensive in all of the United States. It depends on how much you are looking to spend and if you are wanting smaller investment properties or larger deals such as duplex and triplex in Class A neighborhoods. As with any real estate purchase, act wisely. Evaluate the specifics of the Denver housing market at the time you intend to purchase. Hiring a local property management company can help in finding tenants for your investment property in Denver.

The inventory is low, but opportunities are there. According to, there are 69 neighborhoods in Denver, where properties are available for sale. If you think of investing in Denver, you have decided on a long-term investment property. Here are the ten neighborhoods in Denver having the highest real estate appreciation rates since 2000—List by

  1. Victory Crossing
  2. Stapleton
  3. Stapleton South
  4. Stapleton East
  5. Stapleton North
  6. Stapleton Southeast
  7. CBD
  8. Ballpark
  9. City Center
  10. W 14th Ave / Quitman St


Market Data, Reports & Forecasts

Best Neighborhoods for real estate


Quality of life, Unemployment, Rent, Tourism

Landlord friendly

Short term rentals

Growing rental market



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