Denver Named The Hottest Real Estate Market in the Country

In a recent publication by U.S. News and World Report, Denver has clinched the title of the hottest housing market in the nation, for the second year in a row. A low unemployment rate, few mortgage delinquencies, and a low rental vacancy rate are among the biggest contributing factors. The ranking uses the U.S. News Housing Market Index, which looks at several data points, such as supply and demand. Metropolitan areas are given a score between 1 and 100 based on data from December 2023, and Denver topped the list at 74.8 – up 7 points from our score last year.


The top 10 hottest housing markets, according to U.S. News:

1 – Denver

2 – Raleigh, North Carolina

3 – Virginia Beach, Virginia

4 – Durham, North Carolina

5 – Charlotte, North Carolina

6 – Nashville, Tennessee

7 – Houston, Texas

8 – Portland, Oregon

(Tie) 9 – Dallas-Fort Worth, Texas

(Tie) 9 – San Antonio, Texas


Three other cities in Colorado made the top 20: Fort Collins, at number 12, Greeley at number 15 and Colorado Springs at number 19.


Denver’s ascent to the top comes as no surprise to those who live here. The Mile High City has long been a magnet for Americans seeking both professional opportunities and quality of life. But despite the analysis of being the hottest market, we continue to face the challenge of inventory issues, with less than two months of inventory available. Although interest rates have declined since hitting over 8% in October 2023, it hasn’t been enough for many sellers who do not want to lose their lower rates. There likely won’t be a drastic change in the amount of homes on the market in comparison to the high demand for housing in Denver.


If you’re looking to buy, here’s a look at what you can expect moving into the busiest time of the year in real estate – the spring real estate market:


Intense Competition: With demand outpacing supply, buyers can anticipate stiff competition for available properties. Multiple offers and bidding wars have become commonplace, meaning you’ll need to be ready for swift action and have strategic negotiation tactics in place.


Rising Prices: The high demand for homes in Denver has driven prices to unprecedented levels in the past 5 years. While this is a challenge for budget-conscious buyers, it also proves the importance of thorough research and financial preparedness.


Fast-Paced Transactions: In a market where properties sell in a matter of days, buyers need to be ready to act decisively. This means having talking to a lender first, getting pre-approved and being ready to make decisions quickly.


Despite the competitive nature of Denver’s housing market, there are still plenty of opportunities for buyers to find the perfect home. Working with a knowledgeable, analytics-driven Denver real estate agent who understands the local market is incredibly important, and can mean the difference between beating your competition or losing out on your dream home.


At The Phipps Team, we are committed to helping our clients achieve their real estate goals in Denver’s dynamic housing market. With our expertise and concierge-level service, we are here to guide you through every step of the home buying process. Contact us today to learn more and embark on your journey to homeownership in The Mile High City!