💰 What is the best place to buy rental property in Colorado? 💰
Plentiful job opportunities and amenities make Denver the best place to buy rental property in Colorado, followed by Colorado Springs and Aurora.
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Colorado is one of the best states to invest in real estate, offering a strong economyand one of the fastest-growing populations in the last decade. The multi-billion-dollar outdoor recreation industry attracts millions of tourists every year.
While the state has so much opportunity for investors, deciding where to invest can be overwhelming, particularly if you’re out of state. To help you get started, we’ve broken down the five best places to buy rental property in Colorado.
If one of the cities on our list catches your eye, you can get advice from an experienced local real estate agent and cash back at closing by working with our friends at Clever Real Estate.
Clever is a free, no-obligation agent matching service that matches you with qualified, pre-vetted realtors from trusted brokerages including Keller Williams, RE/MAX, and Coldwell Banker. You can meet as many agents as you like until you find the best one to advise you on your real estate investment journey.
1. The Best Place to Buy Rental Property in Colorado: Denver
The Mile High City offers some of the state’s best museums, gardens, and zoos, as well as many fine restaurants. And of course, it’s just a quick drive away to hit the slopes in one of the world’s most famous ski spots, Vail Mountain Resort.
According to the Bureau of Labor Statistics, Denver has a 4% unemployment rate, which is lower than the national rate of 4.1%. With a population of 760,049 and a growth rate of 1.5%, this area is a great rental investment opportunity.
Home values have increased by 20% in the past year to a median of $627,189. Even with a competitive market, it’s worth getting in the game. You’ll see some of the state’s best rentals here, with a two-bedroom apartment earning a median of $2,042 per month. Denver is also one of the best cities for Airbnb investment, with an average daily rate of $168.
2. Colorado Springs
Nestled at the base of Pikes Peak, one of the most famous mountain peaks in the country, Colorado Springs is another great option when exploring investment apartments. It’s Colorado’s second-largest city, with a population of 495,183. Although it’s only the 39th largest city in the U.S., it has grown by 18% since 2010.
Colorado Springs has more affordable housing prices — currently valued at $477,192, almost $150,000 below Denver’s average price. This city also saw a 25% increase in home equity over the past year. Renters make up about 42% of the population, with a two-bedroom apartment earning up to $2,900 a month. Plus, the average Airbnb daily rate is around $174.
The potential in Colorado Springs contributes to Colorado being one of the best states to invest in real estate.
|Find property the way the pros do.|
Many experienced investors drive for dollars. You literally drive through communities to discover distressed-looking homes. If you find one, you reach out to the homeowners and ask if you can buy it from them.
A driving for dollars app like DealMachine helps you track your progress and pulls property info and owner contact details. It even works with direct mail services so you can scale up your outreach. Try DealMachine for free.
Aurora was deemed One of America’s Best Places to Live in 2019 due to its strong arts culture, affordable cost of living, family-friendly activities, and unique craft breweries. It’s on the southeast side of Denver and a one-hour drive from the Rocky Mountains.
As Colorado’s third-largest city — with a population of 393,440 — it’s another lucrative option for long-term investing. The Airbnb daily rate is $150 and a two-bedroom apartment can earn a median of $2,359 each month. The typical home value is $514,942, with an increase of 25% in the past year.
4. Fort Collins
With a population of 176,000, Fort Collins has a steadily growing economy and offers 285 miles of beautiful city trails, perfect for strolling or biking throughout the city. Plus, it’s close to Denver for those who want big-city thrills, and a short drive to the Rocky Mountains for the true adventurer.
The median home value is $566,347, which has increased by 23% in the past year. A two-bedroom rental can go as high as $2,200 per month, with an Airbnb rental seeing an average of $182 a night.
Lakewood offers excellent schools, a thriving job market, and affordable housing, along with a friendly community and access to miles of outdoor recreation. Many residents work right in Lakewood; however, it’s an easy commute to Denver and Golden.
The typical home value has risen to $630,568, but you can find good properties available below this price. With home values increasing by 23% in the last year, you’re bound to see the benefits of your investment in the years to come.
Next Steps for Your Rental Property Investment
From Denver’s lucrative Airbnb market to Aurora’s lively art scene, Colorado offers a wealth of real estate investment opportunities.
If you want to find great deals on rental property, we recommend Foreclosure.com and DealMachine.
- Foreclosure.com hosts nearly 2 million foreclosure listings in top real estate markets across the country. You can get ahead of other buyers by finding investment opportunities before they hit the market. Find your next investment property!
- DealMachine helps you identify and track real estate that may not be on the market. It grants you access to property data and connects you with property owner contact info. Try DealMachine for free, get 15 marketing credits.
If you’re serious about investing in Colorado real estate, you’ll need a great local agent on your side. The right agent can help you identify the best rental properties, negotiate with sellers, and more. Our friends at Clever Real Estate have built a network of trusted partner agents in Colorado and beyond. It’s free to meet agents through Clever, with zero obligation!
Best of all, real estate investors who find an agent through Clever can easily take advantage of Colorado’s buyer rebate opportunities. You can receive cash back at closing, which you can use to offset closing costs, get your new property ready for renters, or simply enjoy as extra money in your pocket.
🙌 The Easiest Way to Get Cash Back After Closing!
Did you know 42 states and Washington D.C. allow cash rebates for home buyers? Our friends at Clever can match you with trusted local real estate agents and help you get cash back. You can spend your money any way you’d like — no questions asked!
Is real estate a good investment in Colorado?
The housing market in Colorado is one of the strongest in the for real estate investors. You can choose from several Colorado cities wIth a growing population and rising home values. Learn more about the best places to buy rental property in Colorado.
How do I find rental properties to buy in Colorado?
Once you choose a city to buy investment apartments, it’s a good idea to work with a real estate agent. An agent will provide insights into the market, find property to meet your goals, and help you negotiate. Find out where you should buy your next rental investment.