Rental markets in Denver haven’t changed much over the last year (according to the Denver Business Journal), and owning rental property in City Park or Park Hill is still looking like a good idea. A quick review of a couple dozen rental adds from City Park rental properties (on craigslist) shows that (depending on location, size, and quality) a good rental can ask around $1.20 a square foot. Listings of out-dated properties or those located further from the park dip to around $1 per sq/ft, and those that are tricked out were listed as high as $1.50. One three-bedroom, two-bath property I recently reviewed for a customer would likely sell for between 270k and 285k, would rent for 1400 a month. After a modest allowance for management expenses, the cap rate would likely fall in the 5.6% to 6.1% range. (If all this “investor speak” is too much, give me a call and I can explain with more detail in plain english.) The City Park neighboorhoods are still experiencing strong demand for rental units which is good news for those investing in rental properties.
Filed under: Denver Market Specifics | Tagged: cap rate, city park, Denver, investing, investment, rent, Rental
