We’re excited to share our latest Market Report, which details how the second quarter of 2025 compared to the same time last year. The numbers show apparent differences by property type and price point, providing insight into current market conditions across Southwest Colorado.

Durango

In-town properties below $1 million exhibited mixed performance, depending on the property type. Condos posted a 10% increase in median selling price to $399,000 and a 6% rise in cost per square foot. However, average days on market rose by 11%, and sales volume increased by 21%. Townhomes below $1 million experienced a 12% decrease in median selling price to $599,000 and a 5% drop in cost per square foot.

Single-family homes below $1 million had a slight 2% decrease in median selling price, now at $725,000. Price per square foot increased 15% to $534.68, and homes sold faster with an average of 63 days on market compared to 61 last year. Sales volume increased 38%.

Luxury homes above $1 million saw the median selling price rise 21% to $1,460,000, with a 3% increase in price per square foot. Days on market decreased by 25%, with properties selling in an average of 41 days, compared to 55 days previously. Sales volume decreased by 62%, with five transactions compared to thirteen in the same period last year.

Durango Mountain Area

Condos below $1 million declined 24% in median selling price to $320,000 and 12% in price per square foot. Average days on market remained steady at 107. Sales volume increased significantly, with 12 units sold compared to five in 2024.

Townhomes below $1 million saw a substantial 55% decrease in median selling price to $435,000, along with a 39% drop in price per square foot. Sales volume decreased 50%.

Luxury properties in this area showed notable gains, with the median selling price increasing 72% to $2,575,000 and price per square foot up 87%. Days on market decreased by 55%, with an average of 46 days compared to 103 days last year.

Durango Rural Area

Homes below $1 million experienced a 19% increase in median selling price to $857,500, along with a 6% rise in price per square foot. The number of days on market increased by 27% to 95 days. Sales volume increased by 15%, with 38 transactions completed compared to 33.

Luxury homes above $1 million stayed relatively flat, with a 1% decrease in median selling price to $1,335,000 and similar pricing per square foot. Days on market rose 22%, and sales volume increased 13%.

Bayfield

Homes in Bayfield priced below $1 million saw a 6% increase in median selling price to $557,000, along with a 3% rise in price per square foot. Properties sold significantly faster, averaging 64 days on market, a 33% improvement over last year. Sales volume decreased 45%, with 18 homes sold compared to 33.

Condos and townhomes below $1 million showed a 4% increase in median selling price to $373,900 and a 9% increase in price per square foot. Days on market dropped 23%, with properties selling in an average of 101 days. Sales volume was flat, with two properties sold in both years.

Luxury homes above $1 million posted a sharp decrease in median selling price, down 68% to $1,229,000. Price per square foot fell 26%, while average days on market improved slightly to 136 days. Sales volume increased, with five homes sold compared to two last year.

Pagosa Springs

Homes in Pagosa Springs below $1 million recorded a 15% decrease in median selling price to $542,500 and a 4% decrease in price per square foot. Days on market improved slightly, down 11%, with an average of 102 days. Sales volume increased 19%, with 62 transactions compared to 52 last year.

Condos and townhomes priced below $1 million experienced a 12% decrease in median selling price to $312,500, but a 2% increase in cost per square foot. Average days on market rose 50%, and sales volume dropped 25%, with 15 units sold compared to 20.

Luxury homes above $1 million saw a 19% increase in median selling price to $1,699,000, although price per square foot decreased 16%. Days on market increased 17% to 152 days, and sales volume dropped 33%, with ten homes sold compared to fifteen in 2024. The highest sale reached $5.2 million, up from $3.4 million last year.

Cortez and Dolores

Homes in Cortez below $1 million posted a 20% increase in median selling price to $420,000 and a 2% increase in price per square foot. Days on market decreased by 19%, with homes selling in an average of 95 days, compared to 118 days in 2024. Sales volume increased 6%, with 73 transactions compared to 69 last year.

Buyer Takeaways

• Entry-level homes are selling quickly in several markets, particularly in Durango’s in-town area and Bayfield, so buyers should be prepared with financing pre-approvals and competitive offers.

• Luxury buyers have more options and time to consider their purchases, especially in markets where the number of days on market has increased and the price per square foot has declined.

• Condos and townhomes showed mixed results, so buyers who focused on these property types may find more room for negotiation in some areas.

Seller Takeaways

• Homes under $1 million remain competitive when priced correctly, especially those that are move-in ready or have been recently updated.

• Luxury properties require strategic marketing to stand out, as buyers are becoming more selective at higher price points.

• Staging and pricing flexibility can improve results, particularly in areas where sales volume has decreased or the length of time on the market has increased.

Ready to Move Forward?

Whether you’re looking to buy or sell, our team has the experience and local insight to help you navigate every corner of the Southwest Colorado market. Contact Legacy Properties West Sotheby’s International Realty today to take your next step with confidence.