Fort Collins Real Estate Market Prices, Trends and Forecast 2024

A standout community an hour north of Denver, Fort Collins offers a sublime, sophisticated experience along Colorado's Front Range urban corridor. With the grandeur of the Rocky Mountains as a backdrop, the award-winning lifestyle in Fort Collins blends small-town charm with cosmopolitan amenities and unfettered access to many of the state's best natural wonders.

Locally, Fort Collins includes nearly 1,000 acres of park space, approximately 45 miles of interconnected hard-surfaced recreational trails, and direct access to the 650,000-acre Canyon Lakes Ranger District, which is part of the larger 1.5-million acre Arapaho and Roosevelt National Forests and Pawnee National Grassland.

Fort Collins is also a popular destination for entrepreneurial opportunities, startups, and artistic ventures. Colorado State University's presence injects a vibrant college-town vibe that further enhances the experience of a dynamic, constantly evolving community.

The housing market in Fort Collins is diverse, offering everything from single-family homes to townhomes and condominiums. The city's luxury segment is particularly robust. The presence of Colorado State, an expanding tech sector, and the city's unique urban-suburban-rural lifestyle options fuel a competitive real estate environment, with buyers showing increasing interest in move-in-ready homes.

The demand has led to a surge in listings in the luxury and ultra-luxury markets, with homes priced at $2 million and above seeing the most significant increase in inventory over the few months of 2024.

The Fort Collins real estate market experienced a nominal contraction in median sales prices, from $548,750 in March 2023 to $547,500 in March 2024. Market prices continue to stabilize, heading into the more active spring and summer sales season. Homes spent an average of 42 days on the market in March 2004, a little over a week longer than the same time last year.

New listings are down -10.9% year over year, totaling 238 in March 2024. Homes for sale, however, are up 26.3% from a year ago. Also, for March 2024, 217 homes were under contract, up 2.4% YoY, and 174 closed sales, down 5.9% from a year ago.

Sellers received 98.2% of the list price during March 2024, effectively the same percentage as this time last year.

Inventory is growing, a good sign for buyers navigating a limited housing supply over the past three years. The drop in new listings is likely a slight lull at the end of the slow winter season, as early April listings ticked upward by a large margin—78 new single-family home listings between the 1st and the 7th, versus only 43 the first week of March.

Overall, the Fort Collins market remains healthy for buyers and sellers, though the latter holds a slight advantage.

Expect plenty of activity in the Northern Colorado marketplace as late spring and early summer approaches. Development potential is also helping to boost optimism, as ten communities are in various stages of development in the immediate Fort Collins marketplace, with prices ranging from the $400,000s to more than $1.5 million for brand-new construction.

In addition to new and existing homes, land purchases are proving more attractive for buyers and investors, with acquisition and building costs leveling off. It's far easier to craft a dream home to your specs now than in previous years, and Fort Collins offers spectacular locations to make such a home a reality.

The outlook for the remainder of 2024 is a return to market normalcy should inventory continue to grow. The one caveat is the influence of fluctuating mortgage rates. Though rates rose above 7% for a 30-year fixed-rate loan in the early part of this year, predictions remain that rates will eventually settle somewhere between 6% and 6.5% by the end of 2024.

Buying sooner may be prudent for buyers unsure of when to enter the marketplace. Should rates decrease, expect even greater competition for the area's most desirable homes and rising prices in response. You'll stand a better chance of acquiring the home you want at a nominal premium with the option to refinance once rates start falling. Shopping around for your loan or innovative financing solutions like lender buy-downs can also help mitigate elevated rates, providing temporary flexibility for buyers.

Sellers looking to capitalize on the active Fort Collins market will appreciate the forecast for spring and summer. Transactions have evolved from the sight-unseen, pay-any-price days at the height of the pandemic market. Buyers are far more discerning and willing to pass on deals they're not 100% comfortable with. Preparing your listing to meet the high standards of the city's upscale market will draw a broad range of buyers, including those most willing to pay a premium for your home. The overall market is poised for a balanced season, offering a healthy environment for real estate transactions.

Fort Collins is a desirable location for those seeking a balanced, active, and luxurious lifestyle with urban and outdoor amenities. With a diverse housing market and a community-oriented lifestyle, it offers a compelling environment for potential homeowners and lucrative opportunities for those ready to sell.

Whether you are seeking additional insight into the Fort Collins real estate market or are ready to prep and position a property for sale, contact Kyle Basnar today to start your Fort Collins real estate journey.

_{*Header image courtesy of Kyle Basnar}