Rents Continue to Soar in Denver

Rental ApplicationRental prices in Denver are among the highest in the country, according to a recent article in the Denver Post. While rents are on the rise, mortgage rates are staying low, which is prompting many to consider homeownership.

The numbers are in and according to the article, metro Denver rents, including homes and apartments, rose more than triple the U.S. annual average in January — 10.2 percent versus 3.3 percent (Zillow Rent Index.) Only in California, San Francisco and San Jose showed larger gains than the Mile High City.

If you look at reports from Apartment List you’ll find that in January, San Francisco and Denver apartment rents were increasing at triple the U.S. average. Apartment List ranked Aurora first and Denver third for the size of their two-bedroom rent increases among the large U.S. cities it tracks.

Fortunately, Developers have another 40,000 apartments under construction or planned, which should result in an additional 10,000 apartments coming online each year over the next four years, but that doesn’t bring much relief to those seeking apartments now.

If you’re in the market for a rental, the pricing overview below may help you in selecting a neighborhood in line with your budget. According to Apartment List:

  • Centennial had the biggest rent increase of any suburb at 14.1 percent, which pushed the average two-bedroom rents there to $1,310 a month.
  • LoDo is the most expensive neighborhood, with rents on a two-bedroom of $2,920 a month, double the city of Denver average.
  • Broomfield remained the most expensive suburban apartment market, with an average rent on a two-bedroom of $1,480. But rental increases there were moderating — up only 2.2 percent on the year.
  • Aurora still had the cheapest apartments in the metro area at $850 a month, but rents rose 12.8 percent year over year, the fastest increase among the more-populated cities in Apartment List’s survey.
Ken Blevins

About Ken Blevins

Ken Blevins, CEO of Metrowest Real Estate Services, is a veteran in mortgage and default servicing with more than 24 years of experience in collections, foreclosure/bankruptcy, loss mitigation and real estate disposition (REO). Blevins was an original co-founder of Metrowest in 2003, a Real Estate Brokerage and Services Company focused on the resale, recovery and liquidation of distressed real estate in Denver, Colorado and surrounding metros. Blevins assumed the role of CEO in January 2014 and provides strategic direction and has management accountability for the day-to-day operations. Under his direction, Blevins drives all default management operations to maximize asset value recovery and reduce loss severity through a strategy focused on customer service and state of the art technology. Blevins has 18 years of direct operational experience in all facets of REO Asset Management having managed large national REO Disposition contracts for Fannie Mae, Freddie Mac, Wells Fargo, JP Morgan Chase, CitiFinancial, GMAC Mortgage and other various financial institutions. Blevins specialties include REO asset management, real estate investment, bulk REO acquisitions and distressed asset recovery and liquidation, and he has directed the resolution and liquidation of over ten billion in institutionally-owned residential real estate.

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