January 2026 Colorado Real Estate Update
January 6, 2026
January 6, 2026
We hope 2026 is off to a wonderful start for you and your family.
As we head into the new year, I wanted to share a few timely insights on the market, interest rates, and some important long-term planning considerations.
Each year, Christmas week consistently records the fewest new listings of the entire year. It also sees the lowest number of price reductions; no surprise, as most homeowners are spending time with family and putting major decisions on pause.
What is consistent, however, is what comes next. From now through July 4th, we almost always see a steady climb in new listings as sellers re-engage with the market.
Over the past three years, we’ve also seen sellers become increasingly aggressive with price reductions as the year progresses. The big unknown for 2026 is whether that same trend continues; or whether more sellers price strategically from the start.
Today’s average 30-year fixed mortgage rate is around 6.5%, nearly identical to where it was when the Fed began cutting rates in September of 2024.
Since then, the Federal Reserve has lowered the Fed Funds Rate by 175 basis points, with the most recent cut just before Christmas bringing the target range to 3.50%–3.75%.
This is a helpful reminder that Fed rate cuts do not directly translate into lower mortgage rates.
What will matter as we move through 2026 is whether the Fed resumes purchasing longer-term treasuries; language and policy shifts worth paying attention to.
With leadership changes ahead at the Fed, markets are already looking forward. Lower rates are coming; but likely not without some choppy waters in between.
If you’re waiting for lower rates, it’s important to consider opportunity cost. In many cases, the cost of waiting includes missed inventory, increased competition, and rising prices can outweigh the savings of a slightly lower rate. Rates can be refinanced and prices and interest rates negotiated; the right home, location, and timing often can’t.
Life moves fast, and while it’s uncomfortable to talk about, planning ahead matters. When the time eventually comes, the last thing any family needs is additional stress or legal hurdles.
In Colorado, there are ways to avoid probate, including:
Adding another person to title (with potential tax implications),
Placing property into a trust (which can avoid probate entirely), or
Using a Beneficiary Deed, allowing property to transfer smoothly, and even be sold, shortly after passing.
I care deeply about you and your family’s future. Whether it’s real estate strategy, long-term planning conversations, design ideas, or simply being a second set of eyes, I’m always here as a resource.
If you, or someone you know, is thinking about buying or selling in 2026, I’d love the opportunity to help. And if they already have an agent, I’m always happy to be a second opinion.
Here’s to a healthy, thoughtful, and successful year ahead.
Real People :: Real Advice
Warmly,
Zana
Real Estate Fall Update
Happy New Year!
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