This infographic explains the Denver housing market between 2025 and 2026. It weighs in on the burning question everyone is asking: “Will the Denver housing market crash?” It tells you why experts believe the risk to be low, how this market is completely different from the crisis of 2008, and what a cooling trend means for buyers as well as for sellers.

The data shows an emerging market that is normalizing rather than collapsing, with median home prices coming to a stand at $581K and inventory increasing by 48.5%. Whether buying, selling, or just wanting to get a snapshot of what’s going on with the Denver market.

Denver Housing Market Outlook

Comprehensive Market Analysis & Forecast

Last updated: June 29, 2025

🏠Quick Answer

Low crash risk expected in 2025-2026. Denver’s housing market shows signs of cooling and normalization rather than collapse. Current median prices range from $548K-$613K with increased inventory providing more balance, but fundamental economic indicators remain stable.

$581K
Median Home Price
-3.2% YoY
48.5%
Inventory Increase
More choices
4.8%
Colorado Unemployment
Stable economy
4,568
Homes for Sale
Balanced market

📊Key Market Indicators

LOW RISK
Economic Stability

Colorado unemployment at 4.8%, stable job growth projected at 1.2% for 2025. Strong tech and healthcare sectors.

MODERATE
Market Cooling

Inventory up 48.5% YoY, prices down 3.2%. Market normalizing after pandemic surge, not crashing.

MODERATE
Affordability Challenge

Median prices around $581K still challenge many buyers, but increased inventory provides relief.

📈Market Trends Comparison

Denver vs. Crisis Indicators
Indicator
2008 Crisis
2025 Denver
Lending Standards
Sub-prime, NINJA loans
Conservative, strict docs
Unemployment Rate
10%+ nationally
4.8% Colorado
Inventory Levels
Massive oversupply
Normalizing supply
Price Action
Rapid speculative gains
Modest 35% gain since 2020
Economic Diversity
Limited sectors
Tech, healthcare, aerospace

🔮2025-2026 Forecasts

-1% to -9%
Price Adjustment
Modest correction expected
3-4 months
Inventory Supply
More balanced market
45-60 days
Days on Market
Longer selling time
Stable
Employment
Continued job growth

💡What It Means For You

For Buyers

  • ✅ 48.5% more inventory means more choices
  • ✅ Price cuts becoming more common
  • ✅ Less bidding war competition
  • ⚠️ Interest rates still challenging
  • ⚠️ Prices remain elevated vs. income

🏡For Sellers

  • ✅ Values still well above pre-pandemic
  • ✅ No crash scenario expected
  • ⚠️ Expect longer time on market
  • ⚠️ Competitive pricing essential
  • ⚠️ Market favors well-staged homes

💡Bottom Line

Denver’s housing market shows healthy correction and normalization rather than distress. Current data indicates a cooling market with median prices around $581K, 48.5% more inventory, and stable economic fundamentals. While some price adjustment is expected (-1% to -9%), no crash conditions are evident for 2025-2026.

Data Sources: Redfin, Zillow, Rocket Homes, Colorado Department of Labor & Employment, Denver Metro Association of Realtors (DMAR), U.S. Bureau of Labor Statistics, Reventure Consulting. Market data as of June 2025.