The pot effect on Denver's housing market

In Denver, home prices have shot up by double-digits, inventory has fallen dramatically and multiple offers with bidding wars have become common.

The main reason? Pot. Home prices have been on the rise since the state legalized marijuana in 2012, according to CNNMoney.

"There has been a huge bump in real estate prices due to the legalization of marijuana," said James Paine, managing partner at West Realty Advisors. "It's massively pushed up raw land and industry prices."

Denver's home prices shot up 10 percent in March, the second-largest annual increase in the country, just behind San Francisco.

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