DENVER — For many prospective homebuyers in Denver, the dream of homeownership is becoming more of a reality, although at a steep price.
The average price of a single-family home in Denver now stands around $734,000, according to REcolorado Real Estate.
Denver home prices rose 3.6% in 2024, a shift away from the rapid increases seen in previous years. Real estate experts say the market is stabilizing, which offers some hope to buyers.
"Based on the data, the average price home has stayed pretty consistent," said Joy Dysart, a Denver realtor with HomeSmart. "We've seen some big increases over the years, but we're not seeing that as much now. Buyers are getting more adjusted to this."
Potential homeowners are not waiting for an anticipated drop in prices. Many first-time buyers, weary of escalating rental costs, are stepping into the market.
"If you're looking at a first-time homebuyer, they're in a rental situation where rents have continually and steadily increased," Dysart said. "There's always that fear of the cost of waiting."
- Check out the December 2024 housing trends in Denver below
After renting for a decade, Zelda Baer and her husband finally bought their first home, a two-bedroom condo, with help from the Colorado Housing and Finance Authority (CHFA).The program not only provided a $10,000 grant for their down payment but also required that they complete educational classes about the home-buying process.
"I didn't know what any of those words meant," Baer said, reflecting on the paperwork involved with buying a home. "It's a little intimidating when you've never been through it."
Like many, the Baers are looking for that foundation for their family to grow, and that requires space and a higher price tag.
Baer's experience is a common path for many first-time buyers: securing a starter home to build equity and eventually upgrade to a larger property. After five years in her condo, Baer is preparing for her next move, eagerly anticipating a house with a yard and more space for her children to thrive.
"The goal was always to get a starter home, build the equity, and then buy the next home with it," she said. "I feel very comfortable with the options that are out there."
Dysart noted that today’s buyers are more savvy and are taking their time to evaluate their choices.
"Buyers are looking at maybe 10 to 20 properties before making a decision," she said. "It's a healthier market for both buyers and sellers."
As the Denver real estate market continues to balance, it shows promise for hopeful homeowners eager to invest in their futures.
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