As published in DMAR Market Trends, November 2025

Is Downtown Denver coming back to life? The Downtown Denver Partnership reports strong corporate confidence, new leases and a healthy level of business activity—three business openings for every closure—along with net positive office absorption.

Denver-based lbotta opened its nearly 100,000-square-foot office on 16th Street, bringing more than 500 employees to the newly renovated area.

German fitness tech firm EGYM opened its North American headquarters in the LoDo Towers on 17th Street.

A $14 million loan commitment from the Denver Downtown Development Authority will help convert the historic Petroleum Building at 16th Street and Broadway into housing by 2027. Twelve of the building’s 14 floors will be transformed into 178 residential units, with amenity spaces on the ground and top floors.

Denver City Council passed the first major Downtown Area Plan since 2007, aiming to transform the city center into “the nation’s largest signature ‘play’ district,” featuring expanded parks, public space, art activations and more.

Downtown Denver has reached its highest recovery rate since the start of the pandemic: pedestrian traffic is now at 93% of September 2019 levels, according to the Downtown Denver Partnership.

The Denver Gazette reports that Metro Denver rents have dropped to their lowest levels since 2022, driven by a surge of new apartment units that increased vacancy and eased competition. Experts caution that this relief may be temporary, as declining permits and cooling investor interest could tighten supply and push rents higher in the future.

According to Colorado Public Radio, job growth in Colorado rose just 0.6 percent over the 12 months ending August 2025, compared with 0.9% nationally. Many of the state’s traditional growth industries—especially tech and construction—are weakening, leading to higher unemployment and softer labor demand.

The Garrett Companies, a Colorado-based developer, purchased a 12.6-acre plot in Englewood for $15.14 million and plans to build a 317-unit apartment community called Garrett Park Meadows. The project at 8600 S. Valley Highway will consist of a clubhouse with full amenities and six four-story residential buildings.

First-time homebuyers are at an all-time low, as are for-sale-by-owner transactions, while the median seller tenure has increased to 11 years.

Homeowners gained significant equity over the past five years, adding an average of $140,900 in wealth.

By 2033, the U.S. is projected to see more deaths than births, a demographic shift that could reduce long-term housing while increasing inventory.

Rising homeowners’ insurance rates, expected to continue climbing over the next two years, are beginning to impact home values in areas with high climate-related risks, as elevated insurance costs make these markets less affordable.

MORTGAGE NEWS

Despite the typical holiday slowdown, recent data offers encouraging news for buyers. The 30-year fixed mortgage rate has dipped to about 6.23%, down from last week and noticeably lower than this time last year. Mortgage News Daily also reported a sharp drop, with rates hitting roughly 6.22%, one of the lowest averages in the past three years.

The average cost of a standard homeowners insurance policy in the U.S. is now $2,801, an increase of more than 40% since 2019.

A new report by Realtor.com® shows that the average monthly mortgage payments for new and existing homes are almost identical, with only a $30 difference between them.