One of the most common questions in real estate: “How’s the market?” Just like the weather in spring, Colorado’s real estate market is a little all over the place: bright and busy one day, slow and uncertain the next. And while this kind of market can be confusing, it’s also full of opportunity—if you know what to look for.
Let’s look at some data to help paint a comprehensive picture of what’s really happening right now.
A Surge in Inventory
One of the clearest trends this year? Inventory is on the rise. Starting with a macro-perspective, the following chart shows active single-family listings since 2010 across REColorado, our state’s largest MLS. You can see where housing inventory was wiped out over the pandemic, and the notable increase over the last several years.
When you zoom in to regional and local markets, you can see a notable year-over-year increase in active single-family listings across the state:
More homes on the market means more choice for buyers—and more competition for sellers. But this isn’t your typical spring frenzy. The energy is more measured. Buyers are engaged, but they’re not rushing. They’re much more ‘picky’ - weighing prices, comparing condition, and taking their time. If a home doesn’t grab their attention, they know there are plenty of other homes to go see.
Buyers Are Cautious, But Still Buying
Rates are still hovering around the 7% mark, and uncertainty in the broader economy has buyers thinking more carefully. But this isn’t a freeze—it’s just more intentional movement. People are still buying and selling, but only when the numbers work.
Homes that are well-prepared and most importantly, properly priced, are attracting serious attention. To be clear, we are not technically in a ‘buyer’s market’ - which is typically categorized by 7+ months supply of inventory. In the following chart, you can see a similar pattern to active listings. However, we’re still very much in a seller’s market from a technical perspective, under 4 months supply in many areas of the state.
Yes, buyers do have more options and opportunities to negotiate. But don’t assume that’s the case across the board. We’ve seen homes that are perfectly priced and merchandized, receive multiple offers and close over asking price. In general, the longer a home sits on the market, the better your chances to negotiate.
Life Events Are Driving the Market
One thing that’s shifted in 2025: this isn’t a speculation-driven market. People are primarily making moves based on life changes—not FOMO. Job relocation, growing families, downsizing—these are the factors creating the most action. And they’re creating a more balanced dynamic between buyers and sellers.
What Does This Mean for You?
If you’re buying, there are more homes to choose from—and fewer bidding wars. You might have to navigate rate volatility, but you’ll likely have more leverage and time to make smart decisions.
If you’re selling, pricing and presentation matter more than ever. In a market with growing inventory and selective buyers, your home needs to earn attention.
And if you’re just watching from the sidelines, now’s a great time to get clear on your goals. Whether you’re considering a move this year or just want to understand your options, get in touch with your trusted agent to to begin the process.
