Colorado Springs Housing Market Today in 2025

Welcome to the Colorado Springs Real Estate Market Report from March 2025!

Home prices in Colorado Springs aren’t moving much, with the median sitting at $495,000, up just 5% from last year. The real story is inventory—homes are piling up, sitting on the market for an average of 63 days, the longest in a decade. More homes are being listed than sold, and buyers have way more options than they did a year ago. The market is softening in favor of buyers, and if this keeps up, we’ll be in a full buyer’s market before long.

Read on for a more detailed analysis of the local real estate market in Colorado Springs.

The Colorado Springs Real Estate Market Update
*Updated on April 15th, 2025

SUMMARY: The median home price reflects the middle sales price of homes sold in El Paso/Teller Counties based on the sales data from March 2025. The average sales price is calculated by summing the sale prices from all properties in El Paso/Teller Counties during the same timeframe and dividing by the number of properties sold, offering a broad overview of the market's pricing landscape. For understanding the typical price range of homes in Colorado Springs, the median home price is often more indicative, as it avoids skewing by ignoring unique high-priced homes.

Are home prices still rising in Colorado Springs?

Home prices in Colorado Springs have stabilized.

Home prices increased slightly this month, even though sales prices have remained flat over the past three years. It's challenging to forecast the exact direction of the sales trend from here. In Colorado Springs, our current inventory is at a 2.5-month supply. Typically, a six-month inventory indicates a balanced market. While we are seeing more homes available than in recent years, we would still need to see an increase in inventory for home prices to start declining.

What does Colorado Springs' housing inventory look like?

More homes are coming on the market every month in Colorado Springs.

The chart shows that March of this year had the most homes on the market in over a decade. If we continue to see more homes for sale, prices will start to drop due to the laws of supply and demand. This means that if there are many homes available, buyers may have a better chance to negotiate and get lower prices in the future.

Are homes selling fast in Colorado Springs?

These sales trends indicate that the Colorado Springs housing market is slowing down.

Last March, we saw the lowest number of homes sold since 2015. If this trend continues through the Spring, home prices may decline. There will be more homes for sale than people looking to buy. This could be good news for buyers waiting for a better time to buy a house.

Sellers might have to wait longer to sell their homes and could need to lower their prices to attract buyers. This shift will help balance the housing market, allowing first-time buyers and those looking to move into a larger home to find something within their budget. Both buyers and sellers should watch how things change over the summer, as it could affect their plans.

Is Colorado Springs in a buyer's or seller's market right now?

Last month, we witnessed sales of just 1,059 homes, slightly higher than last year, but still slow overall. The time it takes to sell a home is also rising. This trend suggests that we are in a soft buyer's market, especially as the number of available homes for sale continues to increase.

For sellers, this means that more patience may be needed, and in some cases, pricing strategies may need to be adjusted to attract buyers. Many homeowners are currently hesitant to sell, mainly because of the higher interest rates compared to the very favorable rates they may currently have.

Despite these changes, Colorado Springs continues to attract a significant number of new residents. This ongoing influx is fueling commercial development and the growth of our neighborhoods, with new homes and apartment complexes continuing to rise. It's an exciting time for our community as we navigate these changes together, offering opportunities for both buyers and sellers in this dynamic market.

Is the Colorado Springs housing market forecast to crash soon?

Over the past year, we've seen an increase in available properties, yet the market remains vibrant and active, avoiding a downturn that would lead to a recession. The median price for homes listed for sale has remained stable, closely mirroring last year's figures. This stability is a positive sign, showing no immediate risk of a housing market crash in our area. Instead, we're witnessing a shift.

In 2024, home prices in the Pikes Peak region have held steady despite average interest rates. This balance is thanks to a gradually increasing supply meeting the demand for single-family homes in Colorado. As the inventory continues to align with buyer demand, we might anticipate a slight price adjustment throughout the year.

Additionally, there is a growing trend of homeowners tapping into their equity by borrowing against their homes. This movement indicates a change in the national housing market. However, it's still too early to predict how these dynamics will fully play out and when the inventory will increase to further stabilize the market.

Indeed, predicting the future of the housing market is challenging in these changing times. Yet, these shifts offer opportunities and considerations for buyers, sellers, and investors alike. Let's closely monitor these trends as we navigate the market together!

Our real estate agents at Great Colorado Homes enjoy discussing the local market with anyone interested in learning about it. If you have any questions, feel free to contact us.

*Based on information from the Pikes Peak REALTOR® Services Corp. ("RSC"), for the period March 1, 2025, through March 31, 2025. RSC does not guarantee or is in any way responsible for its accuracy. Data maintained by RSC may not reflect all real estate activity in the market.

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