According to Zillow, Denver area home appreciation for February 2016 is 14.5% greater compared to February 2015, the greatest gain of any market in the United States. Denver continues to hold the record as the priciest housing market located between the East Coast and the West Coast.
Zillow states that the average price for a home in Denver for February 2016 is $326,300. In San Jose the median home price is $938,700. San Jose has the most expensive homes, it is even more expensive than San Francisco whose median home price is set at $792,600.
Denver rental management is not surprised that home prices are rapidly appreciating since the demand outstrips the supply. Real estate agents reveal that expensive houses are not sold as fast as their more affordable counterpart, home prices that are more than $700,000 make potentials buyers negotiate for the price.
However, this is not applicable to neighborhoods wherein the demand is extremely high and the supply is scarce. Due to competition and prices, some millennials who prefer to own their homes are now looking into less expensive neighborhoods like Westwood, Villa Park and Barnum as a good alternative to pricey downtown Denver.