Is Denver Finally a Balanced Market? Here’s What the End of 2025 Really Means for You

Is Denver Finally a Balanced Market? What the End of 2025 Stats Really Mean for Buyers and Sellers

Denver is finally starting to feel like a “normal” market again. As 2025 wraps up, we’re sitting at roughly four months of inventory, prices are basically holding steady, and the crazy pandemic-era bidding wars are the exception now, not the rule. That shift has big implications for how both buyers and sellers should think about pricing, timing, and negotiation.

What “four-ish months of inventory” actually means

“Months of inventory” is just a fancy way of saying: if no new homes came on the market, how long would it take to sell everything that’s currently listed at the current pace of sales? Around 4–6 months is generally considered a balanced market—not clearly favoring buyers or sellers.

For a long time, Denver was running at one month of inventory or less, which heavily favored sellers and fueled over-asking offers, appraisal gap clauses, and waived inspections. Now that we’re closer to four months, buyers have more choices and more time, and sellers can’t count on throwing a sign in the yard and getting ten offers by Monday.

Steady prices and what that tells us

Instead of huge spikes or scary drops, prices right now are more or less flat to slowly drifting in the low single digits. That’s what a market looks like when supply and demand are roughly in alignment. Well-priced homes still move, but the days of “name your price and get it” are behind us.

The key here is that this doesn’t look like a crash, and it doesn’t look like another rocket ship either. It looks like a market where the basics—condition, pricing, and marketing—actually matter again.

What this means if you’re buying

Buyers have more negotiating power than they did a couple of years ago, but this is not a clearance sale market. In many cases, buyers can:

• Ask for repairs or credits again, especially on homes that have sat for a bit or taken a price reduction.

• Negotiate modest price improvements or seller concessions (like closing cost help or rate buydowns) when a home is slightly mispriced or facing strong competition from similar listings.

That said, the best homes—updated, well-priced, in highly desirable neighborhoods—can still get multiple offers and go quickly. The advantage for buyers right now isn’t “cheap,” it’s “choice and leverage on terms.” You can be more thoughtful, build in protections, and still be competitive when the right house hits.

What this means if you’re selling

Sellers no longer automatically hold all the cards. Strategy matters again. In this kind of market, successful sellers:

• Price in line with recent sales and current competition instead of “trying for” a number just because a neighbor got it two years ago. Overpricing almost always leads to sitting, then price cuts, then weaker offers.

• Expect some level of negotiation—on inspection items, small price adjustments, or concessions—especially if the home hasn’t sold in the first couple of weeks.

The good news: if your home shows well, is marketed properly, and is priced where the market actually is (not where you wish it was), you can still sell quickly and for a strong number. The days of “list high and the market will catch up” are what really need to be retired.

How both sides can win in a balanced Denver

A nearly balanced market is actually healthy for both sides. Buyers can write offers that include sane protections and creative terms instead of panic-bidding. Sellers can still achieve solid prices without giving the house away, as long as they’re realistic and strategic.

The bottom line: as Denver finishes 2025 with roughly four months of inventory and steady prices, the winners on both sides will be the people who understand the new normal and play it smart—rather than trying to force 2021 rules onto a 2025 marketIf you’re trying to figure out what this “new normal” means for your move, let’s talk about your specific numbers—not just headlines. Send me a quick message with your ideal timeline and neighborhood, and I’ll break down what you can realistically buy or sell for in today’s Denver market so you can make your next move with confidence.