Is the Housing Market Broken in Colorado Springs?
June 2025 Market Update That Actually Makes Sense
If you’re scratching your head wondering, “What the heck is going on with the Colorado Springs housing market?”—you’re not alone.
Inventory is climbing. Buyer confidence is plummeting. Prices are somehow still rising. And despite all this, homes are spending less time on the market. If that feels contradictory and just plain weird, that’s because it is.
So is the housing market broken in Colorado Springs? Or are we just in a bizarre transitional period that no one quite knows how to label?
Let’s break it down, starting with what the numbers say—and what they don’t.
📊 A Quick Overview: What This Market Update Covers
Before we dive into the numbers, here’s a quick note: the data you’re about to see is pulled from the Pikes Peak Multiple Listing Service (PPMLS). This includes Colorado Springs and the surrounding communities, so you’re getting a comprehensive view of what’s happening across our region.
This update looks at both single-family homes and, for a change, condos and townhomes—because that segment of the market is revealing a lot about the bigger picture.
🏠 The Single-Family Home Market: The Plot Thickens
Let’s start where most people are buying: single-family homes.
📉 New Listings Are Down (But Still Higher Than Last Year)
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May 2025: 2,004 listings
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June 2025: 1,869 listings
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June 2024: 1,667 listings
Even though listings dropped month-over-month, we’re still well above last year’s numbers. That tracks with what we’re seeing statewide—a slow migration out of Colorado for some, which is slightly cooling what used to be red-hot growth. Still, the volume is strong, and buyers are seeing more options than they did a year ago.
📈 Sales Are Flat, But Up Slightly
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May 2025: 1,166 sales
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June 2025: 1,197 sales
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June 2024: 1,115 sales
Sales haven’t changed much. It’s not a slowdown, but not a frenzy either. It’s like the market took a deep breath and decided to just… coast.
💰 Wait—Why Are Prices Going Up?
Here’s where it gets strange.
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Average Sales Price:
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May: $566,300 → June: $570,500
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June 2024: $564,400
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Median Sales Price:
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May: $490,000 → June: $500,000
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June 2024: $499,000
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So, despite buyer fatigue, rising interest rates, and inventory increases, prices are climbing. Why?
Two big reasons:
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Higher-priced homes are selling. Luxury listings are moving, which naturally skews the averages up.
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Buyers are choosing concessions over price cuts.
Instead of negotiating a lower price, many buyers are asking for things like rate buydowns or closing cost coverage—things that don’t reduce the sale price on paper but make the monthly payment more manageable.
It’s smart on the buyer’s part. But it also creates a bit of a mirage: prices look like they’re rising, but that doesn’t mean buyers are blindly overpaying.
🏃♀️ Days on Market Are Down (Yes, Really)
Despite all the hand-wringing about buyer sentiment being at an all-time low (and trust us, it is), days on market dropped from 41 in May to 40 in June.
Why?
Because when a home is well-priced, well-maintained, and in a desirable area—it sells. Fast.
Buyers are exhausted from scrolling through stale listings. When something fresh and appealing hits the market, they jump. But they’re picky. It’s got to be worth it.
🏘️ Condos & Townhomes: The “Affordable” Sector That Isn’t
Let’s talk about the sector that’s supposed to be saving affordability in the Colorado Springs real estate market: condos and townhomes.
Spoiler alert: it’s not going well.
📉 Fewer Listings, Falling Prices, and Complicated Math
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New Listings:
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May: 272 → June: 250
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June 2024: 279
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Average Sales Price:
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May: $364,500 → June: $348,000
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June 2024: $392,800
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So prices are down, which should mean good news for affordability, right?
Not so fast.
🧾 The True Monthly Cost Is Higher Than You Think
Condos and townhomes often come with:
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HOA fees
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Association insurance premiums
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Supplemental “walls-in” insurance (HO6 policies)
All of that adds up. In fact, it’s not unusual for the monthly cost of a condo or townhome to match that of a similarly priced single-family home, especially once interest rates and insurance premiums are factored in.
🧨 The Hidden Problem: Insurance Costs and Legislative Red Tape
Let’s talk about what almost no one is discussing in the affordable housing conversation: insurance.
🏗️ Builders Are Pulling Back
When developers build condos or townhomes, they expose themselves to potential construction defect litigation—a big deal in Colorado. This risk, combined with ever-increasing regulations, makes developers hesitant to build the kind of entry-level housing we need.
📈 Insurance Premiums Are Skyrocketing
In Colorado—thanks to hail storms, wildfires, and the nationwide ripple effects from disasters like the Florida condo collapse—insurance rates are out of control.
HOA master policies are skyrocketing. And if an association can’t meet certain insurance thresholds, it can lose its FHA approval, making it harder for first-time buyers to even get financing.
That extra cost? Yep, it gets passed right on to the buyer.
So even if the purchase price is lower, the monthly payment can rival that of a single-family home—without the yard, garage, or privacy.
😩 Buyer Sentiment Is Low (And Here’s Why)
So let’s take a breath and look at why today’s buyer is feeling stuck:
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Rates are high and stubborn
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Insurance premiums keep rising
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Sellers are still dreaming of 2021
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HOA and condo fees are out of control
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“Affordable” housing often isn’t
If you’re thinking about moving to Colorado Springs or even just making a local move, it’s completely understandable to feel hesitant.
Buyers today are more strategic, more cautious, and far less emotional than they were a few years ago. It’s not just about finding a house—it’s about finding one that checks all the boxes and fits the budget without compromise.
🔍 Is the Housing Market in Colorado Springs Broken?
Here’s the thing: the market isn’t broken—it’s complicated.
What we’re seeing is a recalibration after a few chaotic years of pandemic-era market madness. Prices are stabilizing, not crashing. Inventory is returning, not flooding. Buyers are cautious, not absent.
If you’re considering living in Colorado Springs or making a move here, the truth is… you’ve got options. But it’s more important than ever to work with someone who understands how to navigate all the moving parts—especially when it comes to understanding the real monthly cost of a home.
💡 What Buyers Should Do Right Now
✅ Get clear on your budget—including insurance and HOA costs
✅ Ask for concessions instead of chasing price cuts
✅ Be patient but ready to move when the right home hits
✅ Work with local experts who understand this unique market
If you’re looking to make a move and need someone to walk you through the nuances of today’s Colorado Springs housing market, we’re here to help.
📦 Thinking of Moving to Colorado Springs? Start Here.
If you’re planning a relocation, grab our free Relocation Guide—it’s packed with helpful info to help you figure out which neighborhoods best fit your lifestyle, commute, and budget.
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📞 Ready to chat? Contact our team
Whether you’re buying now, six months from now, or just testing the waters, we’re happy to help you make the right decision for you.
Final Thoughts
The Colorado Springs real estate market isn’t broken—but it is a bit wild right now.
Home prices are doing unexpected things, buyers are feeling uncertain, and condos aren’t the affordability heroes people hoped for. But with the right guidance, the right strategy, and a little patience, you can still find success.
We’re here to help you sort through the noise and make smart real estate decisions—no pressure, no panic.
Just honest advice from locals who love where they live and love helping others call it home.
About The Author
The team at My Front Range Living are a group of full time real estate experts serving Colorado Springs, El Paso County and the surrounding areas. Their knowledge of the local community and experience in the industry provide you incomparable value when buying or selling a home. With several years of experience in helping out of state buyers and sellers, they are the go-to team when it comes to relocating and helping Colorado feel like home. Click Here to book a consultation with us.
Even if you’re looking for an agent in another city or state, the My Front Range Living team has a network of experts that can connect you with the right professional.
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