Metro Denver Home Sales Hit Lowest September Level Since 2008
Metro Denver home sales fell sharply in September, reaching the lowest September total recorded since 2008 as higher mortgage rates and increased housing inventory gave buyers more choices and contributed to a slower market.
According to the Denver Metro Association of REALTORS® (DMAR), 2,849 homes closed in the 11-county Denver metro area in September 2026. That was an 11.71% decline from August and a 21.39% decrease from September 2025. It was the fewest September closings recorded since 2008.
Why This Matters to Local Residents
The numbers show that Denver’s housing market is moving into a more balanced environment after years of unusually tight inventory.
Buyers now have more homes to choose from, while sellers are facing greater competition and may need to be more strategic about pricing and negotiations.
DMAR described the market as settling into a “new rhythm,” with increased inventory creating more room for buyers to negotiate.
Home Prices Also Softened
The median closed price for a Denver metro home fell to $575,000 in September, down approximately 3.2% from August and 1.88% from September 2025.
Detached single-family homes had a September median price of $635,000, which was down from approximately $648,500 in August but essentially unchanged from September 2025.
The attached-home market showed a larger year-over-year decline. Condos and townhomes had a median price of $365,500, down 1.19% from August and 6.28% from a year earlier.
The difference between the two segments is important: single-family home prices have remained relatively stable, while condos and townhomes are experiencing more pressure.
Inventory Gives Buyers More Options
Active listings reached 13,567 homes at the end of September, an increase of 3.72% from August and 3.77% from September 2025.
The Denver metro area finished September with approximately 4.76 months of housing inventory**.
Attached properties had considerably more supply, with about 7.21 months of inventory, compared with approximately 4.08 months for detached homes.
That difference means buyers shopping for condos and townhomes may currently have more negotiating leverage than buyers looking for detached single-family homes.
Pending Sales Also Declined
Pending sales fell to 2,908 in September, down 6.07% from August and 13.43% from September 2025.
Because pending sales reflect properties going under contract, the decline provides an early indication that transaction activity may remain softer in the months ahead.
DMAR also notes an important timing factor: most September closings came from contracts negotiated in August, when mortgage rates were still around 6.7%. Mortgage rates then increased throughout September, reaching approximately 7.5% toward the end of the month.
The Market Is Slowing — But It Is Not a Crash
Despite the sharp decline in sales, the latest data does not indicate that Denver’s housing market has collapsed.
DMAR Market Trends Committee Chair Amanda Snitker described the current environment as a normalization rather than a crash. More inventory and fewer transactions are giving buyers more leverage than they had during the extremely competitive pandemic-era market.
Homes also continued to sell in a relatively reasonable amount of time. Median days in the MLS was 32 days in September, compared with 35 days a year earlier.
What This Means for Buyers and Sellers
For buyers, the increase in available homes means there is less pressure to make an immediate decision. More inventory can also create opportunities to negotiate on price or other terms, particularly for properties that have been sitting on the market.
For sellers, the environment is more competitive than it was during the tight-inventory years. Pricing a property realistically from the beginning can be important when buyers have more alternatives.
The attached-home market may require particular attention. With more than seven months of inventory, condos and townhomes currently offer buyers significantly more choice than detached properties.
Key Takeaway
Metro Denver recorded 2,849 home closings in September 2026, the fewest September closings since 2008. At the same time, active inventory increased to 13,567 listings, while the overall median home price declined to $575,000.
The data points to a Denver housing market that is becoming more balanced and less competitive for buyers, rather than one experiencing a housing crash.
For homeowners and prospective buyers, local conditions remain important. Detached homes, condos, townhomes, different price ranges, and individual neighborhoods can experience very different levels of supply and demand.