What should buyers and sellers know about the shifting real estate market in Denver right now?
The Denver metro area has moved into a strong buyer's market. Homes are taking longer to sell, price reductions are more common, and sellers need to recalibrate their expectations. For buyers, this is the opportunity you've been waiting for.
What's Really Happening in the Denver Metro Market?
Over the past several months (maybe a couple of years), inventory has grown, demand has softened, and the pace of sales has slowed. Many listings are sitting without offers, and fewer homes are closing successfully. This reflects a key shift in the balance of power. Buyers now have more options, more time, and more negotiating leverage than they’ve had in years.
And this isn't just a seasonal slowdown. What we're seeing is a fundamental market shift. Appreciation has largely stalled, and many homes, particularly those purchased at or near the market peak from late 2021 through mid 2022, have already lost value. For homeowners in new construction developments or areas with high investor activity, the drop has been even more pronounced.
Looking ahead, most forecasts call for only modest appreciation at best across the Denver metro area, with some neighborhoods likely to see continued price declines. In fact, many local analysts expect pricing to stay relatively flat or decline in select areas through at least 2030. For those who bought recently and now have to sell, the risk of being underwater or facing a short sale is real. This is particularly true for buyers who put little money down or purchased with adjustable-rate financing.
What Sellers Need to Understand Today
If you're planning to sell, this market demands a thoughtful, strategic approach. Simply putting your home on the MLS and hoping for a quick sale is no longer enough.
To compete in today’s market, a successful listing typically checks these boxes:
Professionally staged and thoroughly cleaned
Priced appropriately based on comparable homes and current demand
Cosmetic updates and repairs are complete
Marketed by an agent who understands how to attract attention in a crowded marketplace
What’s more, the longer your home sits on the market, the more likely you’ll need to reduce the price or offer concessions to attract buyers. First impressions matter. In a shifting market, speed to execution can make or break your sale.
Sellers should also be prepared to offer concessions, including buying down the buyer’s interest rate. These rate buydowns can often bring a buyer’s final mortgage rate into the mid to upper 5% range, which can make a significant difference in monthly affordability and overall appeal.
If you’re not sure whether now is the right time to sell, start by asking yourself: Do I need to sell, or do I just want to see what happens? If it’s the latter, this might not be the right moment to list.
Why Buyers Should Be Paying Attention Now
Buyers who’ve been waiting for the market to cool finally have their moment. More listings, less competition, and greater negotiating power create a clear path for serious buyers to act.
Here’s how buyers are benefiting:
Increased inventory means more choices and less pressure
Sellers are more willing to negotiate on price, terms, repairs, and rate buydowns
You have time to think through your options and make strategic offers
One of the most valuable tools buyers have right now is the ability to request a seller-paid interest rate buydown. This tactic can significantly reduce your monthly payment and bring your effective rate closer to where it was just a couple of years ago.
Unlike the competitive years of bidding wars and waived contingencies, buyers today have room to breathe. That said, not every home is a bargain. Well-presented homes that are priced right still move quickly. Acting with clarity and confidence is key.
How to Succeed in This Market
Whether you're buying or selling, your success in this market comes down to preparation, positioning, and guidance.
For Sellers:
Prepare your home like you’re launching a product. It should be clean, updated, staged, and move-in ready.
Price it based on today’s market, not last year’s headlines.
Offer strategic concessions like rate buydowns to make your property more competitive.
Work with an experienced listing agent who can give you honest feedback and a solid marketing plan.
For Buyers:
Clarify your goals and get fully pre-approved.
Explore interest rate buydown options as part of your negotiation strategy.
Take advantage of the increased inventory to explore your options.
Be ready to act when you find the right home. Waiting too long can still cost you the deal.
How Long Will This Market Last?
Most experts agree that this market shift isn't going away quickly. With economic uncertainty, inflation pressures, and interest rates still elevated, it's unlikely we'll see a return to a seller-driven frenzy anytime soon. In fact, many local analysts expect pricing to stay relatively flat or decline in select areas through at least 2030.
That means this buyer-friendly window could last for a while, but not forever. And for sellers, adjusting expectations now is critical to staying ahead of the curve.
What Should You Do If You Bought at the Peak?
If you purchased a home between late 2021 and mid 2022, and now find yourself needing to sell, you're not alone. Many homeowners in this situation are facing little or no equity—and in some cases, negative equity.
If you're in this position, it's essential to speak with a real estate professional before making any decisions. There may be creative options or longer-term strategies that can help you avoid financial strain.
Frequently Asked Questions
Is now a good time to buy in Denver?
Yes, if you're financially ready. Buyers now have more leverage, greater selection, and less pressure. It's a more balanced environment where smart strategy matters more than speed.
Should I wait to sell my home until the market recovers?
It depends on your situation. If you don't have to sell, you may consider waiting. But if you're moving for a job, downsizing, or facing a life change, pricing and strategy can still help you sell successfully now.
What happens if I owe more than my home is worth?
You may be at risk of a short sale. It's critical to talk to a knowledgeable real estate professional who can help you evaluate your options.
Let's Talk Strategy.
Whether you're buying or selling, the smartest first move is a conversation. Let's talk about your goals, review your options, and build a plan that fits this market, not the one from last year. Call, text, or email today for a no-obligation consultation. We're here to help you succeed in a shifting landscape.
Sean Healey, The Healey Home Selling Team, Keller Williams Realty
Call/Text 720-807-2385 or Email: Sean@HealeyGroup.com
