Denver homebuyers seek affordable homes in exurbs

With Denver’s median home sold price reaching nearly $585,000 at the end of March, buyers are prioritizing communities that balance affordability with amenities like pools, recreation centers, quality schools and golf courses.

That has homebuyers heading for the “exurbs” — smaller communities just beyond the suburbs but still within commuting distance of major cities like Denver.
“Affordability is a huge issue in Colorado,” said Ryan Delp, Denver market president for Oakwood Homes. “Being strategic in some of these geographic locations is extremely important.”
Oakwood Homes is paying attention. In recent years, the homebuilder has developed several communities that offer more affordable homes.
Following the success of its Erie Highlands project, which is nearly sold out, Oakwood launched Thompson River Ranch, where homes start in the high $300,000s and amenities include an outdoor pool, clubhouse, parks and trails, a disc golf course and community events.
At Oakwood’s most recent exurban community, Muegge Farms in Bennett, prices start in the mid-$300,000s — a price point that’s tough to find anywhere in Colorado.
“The appeal from our standpoint is that we’re able to design and offer a community that can give some amenities and deliver on some of those traditional features you’re used to seeing in more centralized locations — parks, trails, pools,” Delp said. “We look at it as there’s not one size that fits all. It’s what is the right solution for this location. How many amenities to do we need to offer. We don’t want to unnecessarily spend our customers’ money.”
Although many exurbs are located 30 to 40 miles from the largest city’s downtown, they are among the fastest-growing communities in the nation, according to data from the U.S. Census Bureau.
Rising housing costs and the increase in remote work contributed to the growth of exurbs, which appeal to millennials and Gen Zers who want to be closer to nature and are seeking a sense of community, according to the Census.
“There were more exurbs among the nation’s fastest-growing places in 2023 than in 2019, the year before the pandemic hit,” according to the Census Bureau. “At the same time, there were fewer (103 compared to 125) fast-growing places within a 10-mile radius and a 10-20-mile radius (157 compared to 175).”
Residents are generally highly educated, with 36% having bachelor’s degrees and the child poverty rate at 11% — six points lower than the national average, according to the American Communities Project, a Michigan State University School of Journalism program.