The Steamboat Springs, CO metro area is experiencing a notable shift in its housing market dynamics as of January 2025. The Median Sales Price has decreased slightly by 1.0% year-over-year, settling at $950,000. This decline is mirrored by a more significant drop in the Median List Price, which has fallen by 14.5% to $1,550,000. Such trends suggest a potential correction in the market, as sellers adjust their expectations to align with current buyer demand.

Interestingly, the median Price Per Square Foot has also seen a decrease of 3.9% year-over-year, now at $758.41. Conversely, the Median List Price per square foot has increased by 14.3%, reaching $847.23. This divergence indicates that while sellers are listing properties at higher per-square-foot prices, the actual sales are occurring at lower rates, possibly due to increased negotiation leverage by buyers.

The number of Homes Sold has risen by 22.7% year-over-year, with 27 Homes Sold in January 2025. This increase in sales activity is complemented by a substantial rise in Pending Sales, which have surged by 54.8% to 48. The influx of New Listings, up by 110.7% to 59, suggests that more homeowners are entering the market, potentially driven by the desire to capitalize on previous high market valuations.

Inventory levels have expanded significantly, with a 59.6% increase year-over-year, totaling 174 homes. This rise in inventory, coupled with a 140.0% increase in Months of Supply to 6.4 months, indicates a shift towards a more balanced market, moving away from the seller's market conditions that have prevailed in recent years.

The Median Days on Market have increased by 14.0% to 62 days, reflecting a slower pace of sales. This trend is further evidenced by the average sale to list ratio, which has seen a modest increase of 0.6% year-over-year, now at 97.9%. The sold above list ratio has decreased by 11.6%, now at 11.1%, suggesting that fewer homes are selling above their asking prices compared to the previous year.

Price Drops have decreased by 4.1% year-over-year, now at 16.1%, indicating that sellers may be more realistic in their initial pricing strategies. Additionally, the percentage of homes going off the market in two weeks has decreased by 4.2%, now at 31.3%, further highlighting the cooling pace of the market.

Overall, the Steamboat Springs housing market is undergoing a period of adjustment, characterized by increased inventory, longer market times, and more competitive pricing strategies. These changes suggest a move towards a more balanced market, offering opportunities for both buyers and sellers to navigate the evolving landscape.