January 2024 REcolorado Maket Watch Infographic

Denver Metro Real Estate Market Update: January 2024

The Denver Metro real estate market has started the year 2024 with significant activity and notable trends that both buyers and sellers should take note of. Let's delve into the key highlights of January's market performance.

  • Increase in Inventory Levels

Home shoppers in the Denver Metro area were greeted with a boost in inventory levels in January, as sellers brought 3,414 fresh listings to the market. This marks a substantial 17% increase compared to last January and nearly twice as many listings as seen in December. Additionally, the inventory available for sale at the close of December showed a remarkable 167% increase compared to the previous year.

  • Challenges in Affordability

Despite the increased inventory, home affordability remains a challenge for buyers in 2024. Data from REcolorado reveals a significant year-over-year increase of 44% in listings priced at $1 million or more, while listings priced at $500,000 or less only saw an 8% increase.

  • Uptick in Buyer Activity

The Denver metro area witnessed a notable uptick in buyer activity, with 3,271 contracts executed on homes in January. This reflects a 6% increase compared to the previous year and a substantial 42% increase compared to the previous month.

  • Strong Performance in Luxury Market

Median home prices experienced significant gains, particularly in the luxury market, marking the biggest increase since April of 2023. Closings of homes priced at $1 million or more saw a notable 20% increase from last January.

  • Market Dynamics: Sellers vs. Buyers

Sellers are continuing to test the market with their pricing strategies, while buyers are showing resistance. In January, 48% of homes sold at less than the original list price, with an average price decrease of $21,000. Approximately 40% of homes actively for sale reflected an updated asking price lower than the original list price.

  • Rental Market Activity

In January, 309 Denver Metro properties were leased, marking an 11% increase compared to last year. Throughout the month, 384 new rental listings were added, and by month-end, there were 599 active rental properties available for lease.

  • Closings and Median Prices

The number of listings that closed in January was slightly higher than January 2023. However, compared to the previous month, there was a typical decrease of 21%. The median closed price of a Denver Metro area home in January was $565,000, which is more than 5% higher than the previous year.

  • Days on Market

Homes spent 37 days on the market in January, one day longer than last year and one week longer than the previous month.

January 20204 REcolorado Market Watch Full Report

Market Watch Full Report January 2024

  • Continued Seller Activity

Denver Metro home sellers brought a significant number of fresh listings to the market in January, almost matching the number seen in January 2022, with a notable month-to-month increase compared to December.

  • Luxury Market Performance

The luxury market had a strong January, with homes priced at $2 million or more experiencing a 44% increase in closings compared to last year. These homes spent a median of 47 days on the market. Sellers also brought 41% more new listings priced at $2 million or more to the market compared to the previous year.

  • Conclusion

In summary, the Denver Metro real estate market in January 2024 showcased increased inventory, notable buyer activity, and significant performance in the luxury segment. While affordability remains a concern for buyers, sellers are navigating market dynamics with adjusted pricing strategies. As we move further into the year, it will be essential to monitor how these trends evolve and their implications for both buyers and sellers in the Denver Metro area.

January 2024 Metro Denver Real Estate Snapshot

Metro Denver Market Snapshot January 2024

Curious about what’s happening in your neighborhood? 
You can create a custom market report to see all active, under contract, and sold homes within your neighborhood! 

Considering selling or refinancing your home? Get an INSTANT property valuation now!

We're here to serve all your real estate needs. Contact us today