Colorado Springs Market Information

Current Market Conditions: July shifted the balance toward buyers. Active listings hit 4,317 homes, the most on the market in any month in over a year and the biggest July inventory the Pikes Peak Region has seen since 2011. Sellers kept adding to it – 1,716 new listings came on, up 3.7% from last July. Demand did not quite keep pace. Closed sales came in at 1,136, down 1.4% year-over-year, and homes took 48 days to sell, up from 45 in June and 39 a year ago. After four straight months of gains, prices took a small step back. The average sale price landed at $568,633, down from June’s $577,638 and off 1.0% from last July. The median finished at $494,950, just under the half-million mark. None of that is a crash – it is a normal summer cooldown with more supply in the mix. Year to date, 7,184 homes have sold, still slightly ahead of last year’s pace. Months supply moved to 3.8, and the core price ranges are still absorbing well, but buyers have more room to work with than they have had in a long time.

Price Trend Analysis: The four-month climb ended in July. The average sale price slipped from June’s 13-month high of $577,638 to $568,633, a drop of about $9,000, and the median eased from $499,900 to $494,950. Step back and the picture is steadier than one month makes it look. February bottomed at $524,494, so the average is still up more than 8% from the winter low, and both lines are running within a few percent of where they were a year ago. What changed is inventory – there are simply more homes competing for the same pool of buyers, and that takes the top edge off pricing. Sellers should read this as the peak-pricing window closing, not as values falling apart. Buyers should read it as the first real softening in months.

Inventory Analysis: This is the headline number for July. Active inventory reached 4,317 homes, up from 4,039 in June and 2.1% above last July. It is the seventh straight monthly increase since December’s low of 2,837, and you have to go back to 2011 to find a July with more homes for sale in this market. New listings added 1,716 to the pipeline while closings pulled 1,136 back out, so the pile keeps growing. Months supply moved up to 3.8 from 3.7 a year ago. For context, a balanced market usually runs around five to six months, so the region is not oversupplied – but the days of six offers on every listing are over. Buyers who sat out the spring finally have real selection, and sellers are now competing for attention in a way they have not had to for years.

Price Range Analysis: Every band under $1.5M still sits in seller’s territory, but the numbers came down across the board from June. Entry level leads at 36% under $300K, followed by 30% in the $300K-$350K range. From there it flattens out between 21% and 28% all the way up through $1.5M – still above the 20% line, just not by much. The $700K-$799K and $900K-$1.25M bands are the tightest calls at 21% each. The exception is the same one as always: $1.5M and up absorbed at 9%, well inside buyer’s market range. Compare that to June, when the mid ranges were running 30-41%, and you can see how much the extra inventory changed the pace. The market is still tilted toward sellers, but the tilt is a lot gentler than it was a month ago.

Days Supply Analysis: The $300K-$400K range moves fastest at 86 days of supply, with $400K-$500K at 95 and $500K-$600K at 97 close behind. That is the heart of the Colorado Springs market and it is still the quickest turnover. Just over the 100-day line you have the entry level under $200K at 103 days, the $600K-$800K range at 116, and the $200K-$300K band at 120. Supply stacks up from there: $800K-$1M runs 124 days and $1M-$2M is 157. At $2M and above it is 323 days, more than ten months of inventory, which is why luxury buyers have so much negotiating room. The takeaway matches everything else this month – the middle of the market works, the top of the market waits.

Negotiation Power: Of the 983 single family and patio homes that closed in El Paso and Teller counties in July, 17% sold over asking, 19% closed right at asking, and 64% sold below. That is a real shift from June, when 20% went over and 58% went under. Most below-asking sales still finish within a few thousand dollars of list, so this reflects sharper pricing more than deep discounts. Sellers held the most leverage in the $800K-$900K band, where 27% sold over asking, and in $300K-$400K at 26%. Buyers had the most room at the very top: at $1M and above, 81% of homes sold below asking and exactly one closed over it. The $600K-$700K range was also soft, with 75% closing under list. The practical read for a seller this summer is simple – price it right the first week, because the buyer pool is shopping a lot more inventory than it was in the spring.

On the Ground: July was the month buyers have been waiting on. There are more homes for sale in the Pikes Peak Region than at any point since 2011, prices eased off their June high, and 64% of sales closed under asking. Showing activity is still healthy – roughly 4,000 showings a week across El Paso and Teller counties, with about half of those on homes between $300K and $500K – so the buyers are out there, they just have more to choose from and less reason to rush. For sellers, the game changed. Homes that are prepped, photographed well, and priced to the last 30 days of comparable sales are still going under contract in a reasonable window. Homes priced off last spring’s numbers are sitting. Above $900K, and especially over $1.5M, plan for a longer runway and expect to negotiate. Inventory usually starts flattening out after August, so sellers who want to close before the holidays should be getting on the market now.

Condo Market Highlights: The condo and townhome side had a soft July. Closed sales were basically flat at 143, up 0.7% from a year ago, and days on market held near even at 52. Pricing is where it hurt: the average dropped 16.4% to $326,412 and the median fell 10.3% to $305,000. Part of that is mix – fewer high-end attached homes closed this month – but the trend has been pointing down since spring. Inventory tells the rest of the story. Active condo listings reached 770, up 8.3% year-over-year, while new listings actually fell 11.8% to 240. Months supply sits at 5.4, well above the 3.8 on the single family side, which makes this the most buyer-friendly corner of the market right now. If you are selling a condo or townhome, price it against what has actually closed in the last 60 days and be ready to help with closing costs. If you are buying, this is where your dollar stretches the furthest.