As the Denver real estate market closed out 2024, December showcased a mix of expected seasonal trends and reasons for optimism heading into 2025. Denver Metro Association of Realtors (DMAR) released a report with statistics from the past month showing that elevated interest rates and affordability challenges shaped the year, but increased inventory and steady home values highlight opportunities for both buyers and sellers.
DMAR cites total listing inventory in 2024 rose 12.6% compared to 2023, with detached homes driving most of the increase. However, compared to pre-pandemic years, total inventory still lags. Available listings at the end of December were up 38.56% over last year for both attached and detached combined.
Buyers benefited from this wider range of listing options, particularly during the quieter holiday season. The median days in MLS was 40, indicating that well-priced homes are still moving efficiently.
The median close price held steady at $590,000, which is even compared to last month and marks an increase of 2.08% over last year. Detached homes ended the year with a 2.28% median price increase over 2023, reflecting resilience despite economic challenges. Meanwhile, attached homes faced unique pressures, with median prices dipping by 1.93% year-over-year to $407,000. Rising HOA dues, up 37% since 2020, added another layer of complexity for condo buyers.
The steady rise in showing activity during the holiday season signals that buyers are ready to re-enter the market. Even with mortgage rates hovering in the high 6% range, the stability of home values and the absence of significantly lower rates on the horizon may prompt even the most cautious of buyers to act this upcoming spring.
As Amanda Snitker, chair of the DMAR Market Trends Committee, notes, “We’re entering 2025 optimistic; the environment will continue to change with economic and political shifts.” The relative stability of the housing market in the face of the rate environment has afforded buyers and sellers valuable clarity to plan their next move. Looking ahead, the spring season is expected to bring increased buyer demand, while consistency offers a foundation for future growth.