Monthly Market Snapshot
- Median Sold Price: $525,000
- Average Sold Price: $620,572
- Active Listings (Current): 4,265
- New Listings: 5,586
- Days on Market (Average): 18 Days
- Percent of Sold Price to List Price: 101.3%
- Months of Inventory (MOI): 0.56 Months
Narrative Summary: The Executive Overview
The Denver metropolitan area housing market continued its historic run through November 2021, defying typical seasonal cooling patterns. While the approach of the winter holidays usually signals a deceleration in activity, current data suggests a market characterized by intense competition and a critical shortage of available housing.
The Denver housing market in November 2021 can be described in two words: constrained and aggressive. Historically, November is a month where inventory lingers and price growth flattens. However, we are currently seeing a market where the supply-demand imbalance has reached a peak, as detailed in our comprehensive 2021 Denver real estate market overview.
The most striking figure this month is the Months of Inventory (MOI), which currently sits at a mere 0.56. To put this in perspective, a “balanced” market typically has 4 to 6 months of supply. At 0.56 months, Denver is in a state of extreme inventory suppression. If no new homes were listed, the entire current inventory would be exhausted in roughly 17 days.
Home Prices: Breaking the $525k Threshold
The median sold price for a residential property in Denver reached $525,000 this month. This represents an 18% increase compared to November 2020 ($445,000). The average sold price has climbed even higher, now sitting at $620,572, driven by a robust luxury market and a shift in buyer preference toward larger, single-family detached homes.
Perhaps more telling than the price itself is the Percent of Sold Price to List Price, which remains at 101.3%. In a standard market, buyers expect to negotiate a few percentage points off the asking price. In Denver’s current climate, the asking price is merely the “starting bid.” Most properties are closing for more than the seller’s original request, a trend that has persisted throughout the year.
Inventory & Days on Market: The Velocity of Sales
Inventory levels are the primary headwind for the Denver market. We ended the month with only 4,265 active listings, a significant drop from the 5,739 available in the October 2021 Denver market report. This 25.7% MoM decrease in inventory during the transition to winter has created an incredibly tight bottleneck.
Homes are moving at a blistering pace. The average Days on Market (DOM) is 18, but this figure is often skewed by a few outliers. In reality, most well-priced homes in desirable neighborhoods like Wash Park, Highlands, or suburban hubs in Douglas and Arapahoe counties are going under contract within the first weekend of showings. With 6,794 listings currently under contract, the pipeline remains full despite the shrinking pool of active options.
Buyer Interpretation: Strategy Over Speed
For buyers, the November data confirms that the market is not “slowing down” in the way many had hoped. The 0.56 months of inventory means that competition is fierce.
- Aggressive Pre-Approval: In a market moving this fast, a standard pre-approval letter is the bare minimum. Buyers should work with local lenders who can offer “underwritten” approvals to compete with cash offers.
- Expansion of Search: With single-family median prices at $571,000, many buyers are finding better value in the condo and townhouse segment. For more tailored strategies, visit our guide on the home buying process.
- The “Holiday Opportunity”: While inventory is low, many casual buyers stop looking during the holidays. Serious buyers who remain active in late November and December may face slightly fewer multi-offer situations than they did in the spring.
Seller Interpretation: Maximum Leverage
Sellers currently hold nearly all the cards. With active listings down over 25% from last month, your home is one of the few options available to a still-large pool of motivated buyers.
- Pricing for Momentum: Even in a seller’s market, overpricing can lead to a home sitting past the 18-day average. Pricing at or slightly below market value often triggers the bidding wars that result in that 101.3% list-to-sold ratio.
- Preparation Still Matters: Because the average sold price is so high ($620,572), buyers have high expectations for condition. For a step-by-step look at maximizing your return, see our guide on selling your Denver property.
Comparison to Recent Months (MoM Analysis)
To understand the trajectory of the market heading into the December 2021 Denver market report, we must look at the immediate shifts from October to November:
- Median Sold Price: Increased from $520,000 to $525,000 (up 1.0% MoM).
- Sold Listings: Decreased from 7,937 to 7,595 (down 4.3% MoM).
- Active Listings: Decreased from 5,739 to 4,265 (down 25.7% MoM).
Conclusion: As we move toward the end of 2021, the Denver market remains a high-octane environment. The decrease in active listings has outpaced the slight decrease in sales volume, ensuring that upward pressure on prices will likely continue into the new year.
Frequently Asked Questions
What was the median sold price for a home in Denver in November 2021?
The median sold price for a residential property reached $525,000, which is an 18% increase over the same month in the previous year.
How much inventory is currently available in the Denver market?
The market is experiencing extreme inventory suppression with only 0.56 months of inventory available. This means that if no new homes were listed, the current supply would be exhausted in about 17 days.
Are homes selling for more than their asking price?
Yes. The average Percent of Sold Price to List Price is 101.3%, indicating that most homes are selling for more than the original asking price due to intense buyer competition.
How long does it take for a home to sell in Denver?
The average time on the market is 18 days; however, many homes in high-demand neighborhoods go under contract within the first weekend of being listed.
