April marks the start of the second quarter of 2025, which means that 25% of the year is officially behind us. Although the first quarter of 2025 has been fairly slow when it comes to Denver’s real estate market, the second quarter is starting off with a little different story. Buyers looking to purchase a home today are starting to experience something previous buyers didn’t have to deal with, multiple offers. 

In the past couple of weeks, buyers have noticed that new homes hitting the market are generating much more interest and, in many cases, even receiving multiple offers from eager buyers hoping to call the house for sale, home. Just like historically, when we have seen multiple offers, this usually means that homes are selling above list price. This is not a new event for the Denver real estate market, in fact, sellers back in 2020, 2021 and beginning of 2022 were seeing offers for $50,000, $100,000 and in some extreme cases even $200,000 over listing price. So, is Denver back in this kind of market? Fortunately for homebuyers and unfortunately for sellers, no.

Most homes that we are seeing go under contract quickly with multiple offers right now have offers roughly $5,000 to $20,000 over list. It’s important to note that this is not a trend every house on the market in the Denver metro area is experiencing. Homes must be priced correctly for their condition, location, and finishes. Homes priced above their true value based on features are still being widely ignored by Denver homebuyers. We are also not seeing this specific trend right now in most townhomes or condos for sale; this market continues to see higher inventory levels and is typically taking a longer time on the market to sell.

Market conditions are starting to heat up for the first time in 2025, and most Denver real estate experts are watching closely to see how the market will react next. With Denver’s historically busy selling season upon us, will the trend of over list offers and homes selling quickly continue into the summer? Or are we seeing a small increase in buyers wanting to jump in the market early in the real estate season to avoid the summer’s rush? Then, once this wave of buyers is under contract and out of the market, will we see the market slow down and return to similar first quarter conditions?

Although time will be the only way we will know, I think with the data we have right now it’s safe to assume Denver’s home values are set up for positive appreciation through the second quarter and summer months. Interest rates are remaining more favorable with many borrowers locking in rates in that low to mid 6 range. For the time being, homeowners are taking their time to decide to list their homes, which is continuing to keep inventory levels lower. In my opinion, as long as inventory levels remain lower and interest rates continue to trend lower than most recent years, demand in Denver could remain high and cause home values to appreciate moving forward.

The truth is, we never know what Denver’s real estate market will look like in the future, all we know is what is happening right now. With the current mortgage rate trends and recent uptick in the Denver real estate market, if you are wanting to purchase a home in Denver this summer, now could be a great time to jump in the market, getting in before the possible summer rush begins. For sellers, inventory levels are staying low, so getting your home on the market before buyers have more options could result in a quicker offer and over list purchase price, making now a good time to look at selling your Denver area home.

If you are looking to buy or sell a Denver home this summer, now is the perfect time to contact a TK Homes agent to create a strategy to get the best results for your specific scenario. We look forward to connecting with you, learning about your real estate goals, and showing you how you can make them a reality!

~ Written by CEO/REALTOR® Trevor Kohlhepp