Are Home Prices Dropping in Colorado Springs?
By Jeff and Lane Morrell · October 2026
The Morrell Group | eXp Realty
Prices have eased slightly, not dropped sharply: the El Paso County median was $475,000 in August 2026, down 2.1% from $485,000 a year earlier (Pikes Peak Association of Realtors via propcash.co, Oct 19, 2026), and our own Elevate numbers show a $470,000 median in October with about 1 in 9 listings taking a price cut.
The year-over-year picture
The Pikes Peak Association of Realtors reported an El Paso County single-family and patio median of $475,000 in August 2026, down 2.1% from $485,000 a year earlier (reported via propcash.co on Oct 19, 2026). Great Colorado Homes put the September 2026 median around $479,000, with more active listings than any September since 2011.
That is a modest decline, not a drop. Prices are drifting down as the market balances, and buyers finally have room to negotiate.
Price cuts are normalizing, not crashing
Our Elevate numbers (Oct 19, 2026) count 356 price cuts among 3,232 active listings, about 1 in 9. Yet homes still sell at about 100% of final list price and about 97% of original list price.
Translation: sellers are adjusting to the market, and buyers are meeting them. A 1-in-9 price cut rate is a normalizing sign, the kind we saw as the market cooled in 2023, not a crash signal.
It varies by area and price point
Some pockets are softer than others. Townhomes, for example, show 26 under contract versus 44 new listings and 5.5 months of inventory in our October Elevate data, a slower corner of the market.
The right question is not what the county median is doing, but what homes like yours in your neighborhood are selling for. That is what we pull for clients every week.
A modest correction is healthy. It gives buyers negotiating room they have not had in years, and it keeps sellers honest on pricing, which protects everyone long term. If you are buying, this is the market people waited for; if you are selling, price to the evidence and you will still do fine. We will show you the real numbers for your street, not the county average.
Here when you're ready, Jeff & Lane Morrell
- Pikes Peak Association of Realtors, August 2026, via propcash.co (Oct 19, 2026)
- Elevate MLS market update, Oct 19, 2026, authored by Jeff Morrell
- Great Colorado Homes, Oct 9, 2026
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