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Are Colorado home prices dropping?
In some areas, prices have cooled slightly due to rising interest rates and increased inventory. While major cities like Denver CO and Colorado Springs CO remain competitive, smaller towns are seeing price adjustments—making now a great time to consider your next move.
While viral headlines have mentioned $1 homes in distressed or promotional situations across the U.S., no Colorado city currently offers homes at that price under standard market conditions. However, our agents can help you find cheap homes for sale and real estate deals that offer serious value—especially in rural areas.
The average house cost in Colorado sits at around $550,000–$600,000, depending on the region. Homes at this price point offer high-end finishes, newer construction, and prime locations. Use our home value estimator or speak with a local agent to compare by area.
Colorado’s popularity has driven demand, especially in cities like Denver and Colorado Springs. Factors such as limited land, high construction costs, and strong job markets contribute to rising prices. Add in property taxes, state and county levies, and high taxable values, and costs can add up quickly. That’s why working with a knowledgeable team is key to getting the best deal.