Advocacy Corner: Denver's State of the City

For Realtors® and those following Denver's housing market, the Mayor's proposals signal continued momentum toward increasing housing supply, improving affordability and investing in the infrastructure needed to support a growing city.

Housing Remains a Top Priority
One of the most significant announcements was the introduction of the Mile High Line, a new light rail corridor designed to connect seven major redevelopment areas across Denver, including Park Hill Park, the National Western Center, 16th Street, Ball Arena and River Mile, the proposed Denver Broncos stadium at Burnham Yard, the redevelopment of the current Broncos stadium and the future Denver Summit FC stadium at Santa Fe Yards.

The city plans to encourage the development of approximately 20,000 new housing units across these transit-connected sites.

Transit-oriented development has long been recognized as one of the most effective ways to create walkable neighborhoods while expanding housing opportunities. By pairing transportation investments with new residential development, Denver hopes to increase housing supply, improve accessibility and create more opportunities for residents to live closer to where they work, shop, and recreate.

While increasing supply alone will not solve today's affordability challenges, adding housing inventory remains one of the most important long-term strategies for improving housing accessibility.

Child Care Is a Housing Issue, Too
Although universal child care may not immediately seem connected to real estate, it has become increasingly clear that housing affordability cannot be viewed in isolation from the other costs families face.

Mayor Johnston announced plans to create a task force charged with delivering a roadmap for universal child care by the end of his second term. The initiative will focus on:

• Reducing regulatory barriers so more child care centers can open.
• Building a larger pipeline of trained child care professionals.
• Creating a path toward affordable and accessible child care for every Denver family within five years.

The need is substantial. Denver has approximately 31,000 children under the age of four, but fewer than 5,000 licensed child care slots. Families currently spend an average of $25,000 annually for one child, $50,000 for two and $75,000 for three.

These costs have real implications for homeownership.

According to the National Association of Realtors® (NAR), families nationwide spent between 8.9% and 16% of their median income on full-time child care for just one child in 2022. As these expenses continue to rise, many families are forced to delay major financial milestones, including purchasing a home.

NAR's 2024 Profile of Home Buyers and Sellers reflected this reality, reporting a historic low: only 27% of home buyers had children under the age of 18, the lowest share ever recorded.

When families spend a significant portion of their income on child care, saving for a down payment, qualifying for a mortgage, or comfortably managing monthly housing expenses becomes increasingly difficult. Expanding access to affordable child care could help remove one of the many financial barriers standing between families and homeownership.

The Affordability Challenge Remains
Despite encouraging efforts to expand housing, affordability continues to be one of Denver's greatest challenges.

According to DMAR's June Market Trends Report, the median closed price across the 11-county Denver metro area reached $616,000. While home prices have stabilized compared to the frenzied market of recent years, affordability remains a significant challenge. Rising housing costs, combined with elevated interest rates and increasing everyday expenses, continue to make homeownership difficult for many first-time buyers and working families.

There is no single solution to closing this gap. It will require collaboration among local government, housing advocates, builders, lenders, Realtors® and community stakeholders to increase housing opportunities while preserving the quality of life that continues to attract people to Denver.

Advocacy That Moves Housing Forward
At DMAR, advocacy remains one of the most valuable benefits of membership. Housing policy directly affects the ability of buyers, sellers, property owners and real estate professionals to succeed in today's market.

DMAR is encouraged by the Mayor's continued focus on increasing housing opportunities and reducing barriers to homeownership. We look forward to working alongside the Mayor's office and other community partners as these initiatives move from vision to implementation.

As new policies are proposed and opportunities for member engagement arise, DMAR will continue to keep members informed, advocate for practical housing solutions and ensure Realtors® have a voice in shaping the future of Denver's housing market.