According to the latest report from the Denver Metro Association of Realtors (DMAR), the Denver housing market remains tight for buyers. The report shows that there is still a shortage of properties available for purchase in the area, making it challenging for prospective homebuyers to find the right home.

A primary issue is the lack of inventory here, which is leading to elevated home prices and a slower pace of sales. However, the rental market is seeing growth, and there is a positive trend in buyer activity. If you're looking to buy or rent in the Denver Metro area, it's essential to work with a knowledgeable agent who can help you navigate the market. Based on the latest REcolorado MLS data, here's are the highlights of the current market situation in Denver.

Inventory and Months of Supply
In April 2023, the number of fresh home listings to hit the market was 29% lower than the same period last year. The number of new Denver Metro listings year-to-date was lower than we’ve seen in over a dozen years. As a result, standing inventory, or the number of listings actively available for sale at the end of the month, is 166% higher than it was last April. Homes were actively available for sale a median of 8 days, which is twice as long as the previous year.

Denver Home Sales
The number of closings in the Denver Metro area was down 26% in April 2023 compared to last year. Although there was a month-over-month uptick in buyer activity with 12% more contracts written on homes in April than in March, higher interest rates and a lack of inventory led to a decrease in closings.

Denver Median Home Price
In April 2023, the median closed price of a Denver Metro area home was 7% lower than last year at this time, but still 10% higher than in April of 2021. Home prices are holding strong thanks to high demand and a lack of inventory. Despite a 7% year-over-year decline, home prices are still elevated.

Days on Market
In April 2023, it took twice as long for a contract to be executed on a Denver Metro area home compared to last year. Homes were actively available for sale a median of 8 days. Although homes saw a seasonal uptick from March to April, the median closed price of a Denver Metro area home was 7% lower than last year at this time.

The good news is that Denver has a track record of being one of the best long-term real estate investments in the U.S. We have a strong economy that gives buyers the ability to spend more on housing. If you’re thinking of becoming a homeowner in 2023, now is the time to start planning. Give Metrowest a shout today – we’d love to help you start the process!