Happy new year, everyone!

Drowsy in Denver
As usual, December in Denver’s real estate market decided to take a nap. Inventory slumped as sellers decided the grass is greener on the other side, meaning the other side of the calendar — spring 2025.

Here’s how we closed out 2024:

• New listings went south for the winter, too, and expired listings — those for-sale homes that no longer are for sale and temporarily or permanently vanish — stacked up.

• Buyer demand slowed and cuddled up with a good book. Pending transactions softened compared to November. Surprisingly, they outpaced the same time last year.

• For the homes that did sell, buyers scored big because more than half of them purchased a home below the asking price. Sellers sweetened the pot by covering a buyer’s closing costs or reducing a buyer’s interest rate in two-thirds of all transactions.

• Prices stayed relatively steady and avoided the dramatic ups and downs that characterized the earlier months during 2024. Meanwhile, days on market crept up, giving buyers plenty of time to sip cocoa, eat chocolate bunnies, and mull things over before making offers.

• The number of home showings dipped, as the holidays, the Broncos’ playoff drive, and skiing kept the market low-key. It’s amazing how few showings and open houses occur during Broncos games!

• The number of new listings dropped by 34%, and home closings dipped slightly by half a percent.

• Despite these seasonal shifts, the median closed price remained steady at $575,000, which was below the previous month but higher than December 2023. Homes closed at an average of 95.3% of their original list price, indicating ongoing flexibility in negotiations. 

Hello, 2025!
The Denver metro area housing market appears well-positioned to offer expanded opportunities for buyers. With a larger pool of active listings and steady home prices, potential homeowners will benefit from greater choices. Meanwhile, rental inventory constraints might continue to drive interest in purchasing, which would make things even more interesting.

Note: Days on market can be skewed by how the MLS processes new-construction homes.