December 2025 Colorado Springs Housing Market: Reality Check, Repricing, and a Market in Transition

December 2025 closed the year with a market that is no longer pretending to be something it’s not. The Colorado Springs housing market is officially in a reset phase….not a crash, not a boom, but a recalibration that many homeowners are struggling to accept emotionally.

We’re seeing more inventory, longer days on market, price reductions, and seller hesitation, all while buyers become more selective and financially cautious. Let’s break down what actually happened in December and why it matters heading into 2026.

December 2025 Market Stats – Total Residential | Colorado Springs

New Listings: 377
Active Homes at Month’s End: 1,875
Homes Closed: 661
Average Days on Market: 78
Median Sold Price: $431,490

New Listings: Sellers Are Still Entering the Market — Carefully

In December 2025, 377 new residential listings entered the Colorado Springs market, nearly identical to November’s total. This tells us something important. Sellers haven’t disappeared. They’re entering a very different environment than they expected.

Many of these sellers bought in the last 3–5 years or purchased new construction at peak pricing, often with builder markups that no longer exist. Now, as they list their homes, they’re discovering a hard truth: the market does not care what you paid.

The result? Homes are being listed optimistically, sitting longer, and then quietly reducing price.

What This Means

Buyers have choices and leverage.
Sellers must price for today’s market, not yesterday’s headlines.

Total Active Inventory: Why 1,875 Homes Matters

By the end of December, 1,875 homes were actively listed, up sharply from November. This is one of the clearest signals that the market is no longer supply-constrained.

Inventory is high because:

• Sellers are reluctant to accept lower values

• Some homes are overpriced and sitting

• Many listings were withdrawn, expired, or canceled (582 in December alone) when sellers didn’t get the result they wanted

This isn’t panic…. it’s resistance. And resistance always shows up in inventory numbers before prices fully adjust.

What This Means

Buyers can slow down and compare.
Sellers must stand out (ask me how) or risk becoming part of the growing inventory problem.

Average Days on Market: The Market Is Taking Its Time

Homes that sold in December averaged 78 days on market, up significantly from November. This isn’t because buyers vanished. It’s because buyers are thinking, negotiating, and walking away when numbers don’t make sense.

We are no longer in a market where:

• Homes sell in a weekend

• Buyers waive inspections automatically

• Price is irrelevant

Today’s buyers are analytical and budget conscious and they’re not rushing anymore.

What This Means

Buyers don’t need to panic or overpay.
Sellers need patience, preparation, and realistic expectations.

Closed Sales: Homes Are Still Selling … Just Differently

December saw 661 closed residential sales, a strong number considering seasonality. Homes are selling but notice the gap:

• 377 new listings

• 661 closings

• 388 homes went under contract

• 582 listings were withdrawn, expired, or canceled

This tells us sellers are testing the market and often pulling out when it doesn’t respond the way they hoped.

What This Means

Buyers can be selective.
Sellers must meet the market where it is, not where they wish it were.

Median Sold Price: The Hardest Pill to Swallow

The median sold price dropped to $431,490, down significantly from November.

This is where emotions come in.

Many homeowners are struggling with:

• Selling for less than they paid in 2021–2023

• New-build buyers realizing builder premiums don’t transfer to resale

• The idea that appreciation isn’t guaranteed year over year

This does not mean values are collapsing. It means the market is correcting inflated expectations created during an abnormal period.

What This Means

Buyers are seeing affordability re-enter the conversation.
Sellers need to separate emotion from strategy.

Why We’re Seeing So Much Inventory and So Many Price Reductions

This market isn’t broken……it’s honest.

We have:

• Elevated interest rates limiting affordability

• Buyers refusing to overpay

• Sellers anchored to past values

• Builders offering incentives that resale homes must now compete with

Price reductions are happening not because homes are bad, but because pricing is out of sync with buyer reality.

Homes that are:
✔ Well-priced
✔ Properly prepared
✔ Strategically marketed

…are still selling.

Key Takeaways & What’s Next

FOR BUYERS

• This is a negotiation-friendly market

• You have options, time, and leverage

• Today’s buyers can refinance later but can’t renegotiate price later. Think about this as if you were buying an existing home after buying a home and paying above appraised value for that low interest rate a few years ago.

FOR SELLERS

• Overpricing is the fastest way to lose momentum

• Concessions are common if not a given for 90% of sales (often $0–$10K)

• Staging and prep matter more than ever and can be structured to reduce tax exposure

FOR INVESTORS

• Watch closely as inventory remains elevated

• The next 1–2 months may present strong buying opportunities before rates ease

Overall Market Outlook: January–Early Spring 2026

Colorado Springs is entering 2026 as a strategic market, not a reactive one. Buyers are cautious but active. Sellers are learning, sometimes slowly, that the market has changed.

The homes that sell in early 2026 will be the ones priced for today, not yesterday.

If you’re thinking about buying, selling, or just need an honest conversation about your position in this market, that’s exactly what we do here.

Schedule your consultation today! Let’s strategize your next move in Colorado Springs.