What attracts people to Denver, Colorado? Surrounded by picturesque mountains, the Mile High City offers outdoor activities year round, from hiking and mountain biking in the summer to downhill and cross-country skiing and snowboarding during the winter. Coupled with a thriving job market, Colorado is a prime target for real estate investment dollars.
Here are just a few reasons why the Mile High City is attracting attention:
#1. Denver has one of the hottest job markets in the nation.
Nerdwallet ranked Denver the second best market for job seekers in 2017, offering an unemployment rate of less than 3% and strong earnings. With Denver’s robust aerospace industry, the nearby University of Colorado at Boulder, a variety of healthcare systems, national and state government offices, and CenturyLink, Denver is set to be a hot market for job opportunities this year.
#2. Increasing rents and strong job growth fuel housing demand.
The need for quality housing is strong in Denver, with 2.9 jobs for every new housing unit permitted between 2010 and 2015, according to Apartment List. The market stability is also backed by a 52% increase in average rent during the same time in a city where half of the population rents. This offers investors a large pool of renters in a solid job market who will be motivated to enter the housing market and escape the world of rising rents.
#3. Flippers see the potential.
According to ATTOM Data Solutions, Colorado Springs, Colorado and Denver have the highest number of flips originally purchased with financing, at 69.3% and 54.8% respectively. Financing provides a way to invest in a city with rising costs while taking advantage of interest rates that are still at historic lows.
#4. Denver’s quality of life keeps attracting new residents.
Denver’s many natural attractions and strong infrastructure make it an evergreen city for the real estate market. With a large system of parks, a strong school system and a thriving downtown core, Denver’s quality of life will continue to attract new residents. The city of Denver is also surrounded by unique suburbs, from Littleton, which is the home to high-tech companies, to Boulder and Colorado Springs, home of universities, medical centers, and the Air Force Academy.
The variety of industries along with state and national government headquarters, offer a framework to protect the Denver area from sudden downturns. Other attractions, such as the majesty of the Rocky Mountains overlooking the city and year round outdoor activities, ensure there will always be a draw to the city.
#5. Quality schools also attract families to the area.
Denver and Boulder are well known for high quality schools and a family friendly atmosphere. Niche.com ranked Denver suburbs including Superior, Louisville, and Holly Hills as among the best places to raise a family. With very safe neighborhoods and a thriving nightlife scene, Denver is an attractive area for people of all ages.
The strong job market, good schools, and the thriving entertainment scene, make Denver an attractive market for real estate investment.
Making an investment in Denver
If you’re a real estate investor who is thinking about investing in the Denver real estate market, consider your funding options at Patch of Land. We’d love to speak with you about your project! Connect with us today.