If you have been paying attention to the housing market, you know that Colorado’s real estate has been skyrocketing. Even in day-to-day Colorado living, it is clear that the population is growing and growing quickly. From what seems like constant construction growth and new houses going up, to the increase in traffic and extra highway lanes, it is apparent that Colorado Springs, Denver, and the surrounding area have been growing quickly with more people moving to the state. Why are so many people moving here? What does this mean for property investors?
Even during the pandemic, Denver ranked one of the highest ‘moved to’ cities in the United States. During a poll, 48% of recent movers listed that their reason for moving was due to income loss and 45% stated that they wanted an upgraded housing option. On top of that, Colorado has a low income tax rate. The population in 1990 was 3.3 million. As of 2020, we see the population at 5.6 million residents, which is an increase of 2.3 million people within the span of 30 years. The increase in population has made the housing market tight so rent and sale prices have gone up.
With the price of housing continually crawling upward, this is a great time to invest in real estate. According to Zillow, it is predicted that property values in Colorado will rise 5.5% within the next year. With the tight housing market and more and more people moving to Colorado, now is a great time to invest. We have seen our managed rental properties rent extremely fast with generally low vacancy rates in between tenants.
Even if you are not planning on turning your property into a rental, it is still a perfect time to buy property with intentions to sell in future years. With time, it is probable that properties will gain a significant amount of equity and turn a profit. If you are interested in investing and how we can help you find an investment property, visit our website or contact our sales agent Suzi at (719) 242-7537 to find an investment property and get started on your future.
We hope that this information was insightful and created a small picture of what we can expect in future years for our state.