Colorado Springs Housing Market Today in May 2026

The Colorado Springs Real Estate Market Update
*Updated on June 4th, 2026

SUMMARY: The median home price reflects the middle sales price of homes sold in El Paso/Teller Counties based on the sales data from May 2026. 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. To understand the typical price range of homes in Colorado Springs, the median home price is often more indicative, as it avoids skewing by ignoring high-priced outliers.

In May 2026, the number of houses for sale in Colorado Springs increased significantly, reaching 3,667. That's the same number of homes to choose from as last year. The market seems to be balancing out as sellers are reluctant to list right now.

The MLS added 1,783 new listings last month, representing a 13% decreaase from last year. Additionally, 1,251 homes were sold last month, representing a +7% increase from May 2025. Listings are slowing, while home sales are picking up.

The term 'days on the market' refers to the number of days a home is listed before it goes under contract. In May 2026, the average time to sell was 43 days. This represents a +5% increase from last year, showing that homes are taking a little longer to sell.

Home prices in Colorado Springs have been flat for 4 years.

Home prices have not moved much over the past four years, even as inflation has pushed many other costs higher. In Colorado Springs, our current inventory is at a 2.9-month supply. A six-month supply is usually considered a balanced market, but our current market feels softer than that number suggests. We have more homes available than we did in recent years, but inventory would likely need to rise further before prices start falling across the market.

Inventory growth may finally be slowing down in Colorado Springs.

The chart shows that in May, inventory stopped rising for the first time in 5 years. This could be an early sign that our local market is stabilizing instead of continuing to stack up more homes for sale. May is usually one of the busiest months of the year for new listings, but this year, listing activity slowed down. That makes this shift worth watching closely.

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The Colorado Springs housing market is still moving slowly.

May was another slower month for home sales compared to the stronger years shown in the chart. Affordability is still the biggest issue. Home prices have stayed high while wages and borrowing costs have made it harder for many buyers to move forward. If this trend continues through the summer, sellers may feel more pressure to price carefully.

Sellers may need more patience and stronger pricing strategies to attract serious buyers. This shift could help bring the market closer to balance, especially for first-time buyers and move-up buyers who have been waiting for more options. Both buyers and sellers should watch the summer market closely because the next few months may tell us a lot about where Colorado Springs is heading.

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

Last month, we saw sales of just 1,783 homes, up 7% from last year. At the same time, inventory stopped rising for the first time in 5 years. There are currently about twice as many homes on the market as there were before COVID. We have been in a soft buyers' market for months because the number of available homes remains relatively high.

For sellers, this means patience matters. Some homes may need price adjustments, stronger presentation, or better positioning to attract buyers. Many homeowners are still hesitant to sell because they are locked into much lower interest rates than what is available today.

Even with the slower market, Colorado Springs continues to attract new residents and long-term investment. We are still seeing commercial development, new neighborhoods, and apartment construction across the area. The market is changing, but it is not frozen. Buyers have more choices, and sellers still have opportunities when they price and prepare their homes correctly.

Is the Colorado Springs housing market forecast to crash soon?

Over the past year, we have seen more homes come on the market, but the data does not point to a housing crash at the moment. Median prices have stayed close to last year's numbers, and the market is shifting gradually rather than falling quickly. The bigger story is that buyers have gained more negotiating power than they had during the peak seller's market.

In 2026, home prices in the Pikes Peak region appear likely to remain mostly steady unless inventory rises much faster than demand. Higher interest rates are still limiting what buyers can afford, but supply has not reached the level usually associated with a fully balanced market. That tension is keeping prices from moving much in either direction.

We are also closely watching homeowner behavior. Many owners have strong equity positions, but some are borrowing against it rather than selling. Others are staying put because their current mortgage rates are too low to give up. These decisions affect how much inventory comes on the market throughout the year.

Forecasting the housing market is never simple, especially when interest rates, affordability, and inventory are all moving at the same time. For now, Colorado Springs looks more like a market cooling and rebalancing, not one crashing. We will continue tracking the data and reporting what we are seeing in the local market.

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 May 1, 2026, through May 31, 2026. 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.