The “Two-Speed” Denver Market: A Guide to Pricing Your Home in 2025

Whether you’re thinking about how to price your home in Denver, or just keeping an eye on the market, you’ve probably noticed a change in the air. The frantic pace of the last few years has calmed, and the “For Sale” signs are lingering just a little bit longer.

I want to assure you: this is not bad news, the sky is not falling. It’s a return to a more balanced, healthier market. What we’re experiencing is along the lines of Newton’s law of motion: every action has an equal and opposite reaction. 

This new market has one very clear rule: Price is everything.

In the past, you could “test” a high price and the market would often rise to meet it. Today, that’s the single most costly mistake a seller can make. Let’s break down what’s happening and how you can navigate it successfully.

The Market Shift in One Number: 35 Days

We’re seeing an increase in what we call “Days on Market” (or DOM). This is the truest measure of market speed – it’s the “midpoint” day. Right now, that number is 35 days.

This means that half of all homes in the Denver metro are going under contract in 35 days or less, while the other half are taking longer.

A couple of years ago, that number was often in the single digits. This 35-day median tells us that buyers are no longer making snap decisions in 24 hours. They are taking their time, comparing properties, and waiting for the right home at the right price.

For sellers, this means the “Golden Window” – those first one or two weeks on the market – is more important than ever. If you’re priced correctly from Day 1, you’ll capture the attention of all the serious, qualified buyers. If you’re overpriced, you will quickly find yourself on the “slower” half of the market.

A Tale of Two Markets: Detached Homes vs. Condos & Townhomes

Here in Denver, we aren’t just in one market; we’re in two. You can read more on this in my post “Diverging Paths: 4 Surprising Trends Redefining the Denver Real Estate Market”.

Right now, your pricing strategy depends entirely on which one your home is in.

1. The Detached (Single-Family) Home Market Demand for single-family homes is still strong. Buyers are prioritizing space, yards, and privacy. However, even with strong demand, these buyers are selective. They have more options than they have in over a decade, and they are not willing to overpay.

The Strategy: Your home must be priced accurately against the active competition. If you’re priced even $5,000 higher than a similar, well-maintained home down the street, buyers will simply choose the other property. 

If your home needs work – even if it’s something as simple as worn carpeting – you need to drastically reduce your price to compensate. Don’t slouch on the up front “staging” to be the “shiniest bauble on the shelf”. 

2. The Attached (Condo & Townhome) Market This part of the market is facing a few more headwinds. Buyers are more price-sensitive here, often due to the added costs of rising HOA dues and new insurance assessments. We’ve seen sales volume in this segment slow down more significantly.

The Strategy: For condo and townhome sellers, pricing is hyper-critical. You are not just competing with other listings; you’re competing with a buyer’s monthly budget. An aggressive, data-backed price is the only way to stand out and get showings – let alone get an offer.

Then, focus on rents for comparable apartments and work backwards – why would anyone buy your condo and pay $3500/month when they could rent a similar apartment for $2500? Often, you’ll need to pair an aggressive price with incentives to reduce the monthly mortgage costs for the buyer. It can get expensive – but it’s the only way to go if you truly want to sell.

The High Cost of “Testing the Market”

In a shifting market, an overpriced listing doesn’t just sit – it actually loses value.

Here is the cycle we see happen all too often:

1. The “Stale” Stigma: The home is priced too high. It sits past the 14-day “new” window. It sits past the 35-day median. Buyers and their agents see the high DOM and begin to wonder, “What’s wrong with it?”
2. Chasing the Market Down: The seller finally agrees to a price reduction. But by now, the listing is “stale.” It has lost its initial momentum and other homes have sold or reduced their price even lower.
3. The Final Sale: The seller often ends up accepting an offer that is lower than what they could have received if they had priced it correctly from the start.

Pricing your home right isn’t about leaving money on the table. It’s about creating the right momentum to get you the best possible offer in the shortest amount of time.

How to Price Your Home in Denver for Success

This isn’t a time for guesswork. A successful sale in 2025 is a science.

It’s about looking beyond the “Zestimate” and doing a deep analysis of:

• Recent, pending sales (what under contract right now)
• Active, comparable listings (your current competition)
• Buyer demand for your specific neighborhood and property type (I have ways to research this).

Focusing on homes that sold a few months – or years – ago isn’t going to do you any favors. The market is still shifting, so you’ll want to be a step ahead.

If you’re curious about what this new market means for your home’s value – whether you’re thinking of selling next month or next year – I’m here to help. Let’s set up a time to chat.

I can provide a clear, honest analysis based on real-time data. No pressure, no obligation, just a straightforward conversation to help you make the best decision for your future.