Understanding January’s Market Data
Note: For a home that closed in January, the buyers and sellers signed the purchase offer probably in December or late November, which also means those homes were originally listed for sale as early as September. Thus, January’s data might not accurately reflect current market conditions in real time.

Welcome, 2025

Active inventory in the Denver metro housing market increased month over month and showed a significant year-over-year rise. Sellers appear to be aware that the prime listing period runs from late February to mid-April (with inventory typically peaking in early October). This data suggest that many sellers want to enter the market early ahead of expected competition.

Pending transactions -- in which a seller has accepted an offer from a buyer -- improved from the prior month, which indicates an increased demand from buyers, though the number was lower compared to January 2024. Closed transactions followed the expected seasonal trend by declining from December, due to slower buyer activity during the holidays. However, closings were up compared to the same month during 2024.

More than half of homes closed below the asking price, indicating that sellers are still willing to negotiate. Seller concessions to buyers remained common, with the majority of them covering buyers’ closing costs or interest rate buy-downs.

Days on market continued to increase, which gave buyers more time to make informed decisions.

Showing activity surged from the prior month and also posted a strong year-over-year increase. This information suggests that while buyers are becoming more active, many of them are taking their time before committing to purchases.

Final Thoughts
The greater metro Denver real estate market continues to shift as buyers and sellers adjust to changing conditions. With inventory levels rising and sellers preparing for the prime spring season, competition might increase during February and into the spring. Buyers are remaining cautious, are taking their time, and are benefiting from greater negotiating power. Sellers are becoming more strategic in pricing their home more accurately.

January 2025 versus January 2024

• Sellers added 4,340 new listings — up 28% — giving buyers more options.

• Closed sales rose 6% to 2,262 homes.

• The median price increased nearly 2% to $575,000.

• Buyers remained active by executing 3,076 contracts, though homes spent more time on the market, with median days on market increasing from 37 to 47.

January 2025 versus December 2024

• New listings more than doubled — yes, doubled — rising 130%.

• Despite the influx of inventory, closed listings dropped 29%, reflecting a slower start to the new year.

• Pending listings increased 32%, indicating buyers are returning to the market.

• The median closed price edged down slightly from December 2024, to $575,000.

• Homes spent more time on the market, from 41 days to 47 days.

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