With Denver enjoying over 300 days of sunshine annually, investing in Colorado rental property is more than just a bright idea; it’s a lucrative business move. Americans from across the country have decided to move here in recent years, eager to delve into Denver’s beautiful landscapes, sports culture, and tech-based employment opportunities.
Clearly, the Centennial State is the place to be—and savvy rental property investors are taking note. Between the rich potential tenant pools, wealth of employment opportunities, and its thriving art scene, Denver and its suburbs are wonderful options for anyone looking to become a landlord.
Pros of Owning a Rental in a Denver Suburb
Wondering why you should invest in Denver? Rental properties in the city see an average rent of $2,677 and an average appreciation rate of 7.49%, outpacing the national average appreciation rate of 3-5%.
Plus, Denver offers a little bit of everything, from classic venues like the Fillmore to the grandeur of the Ellie Caulkins Opera House. Those looking to get in touch with the great outdoors need not look far; legendary concert venue Red Rocks is just 15 miles away, and it doubles as an explorable park during the day.
If you’re looking to add Denver rental property to your portfolio, this article will help you make an informed decision about the best places to invest.
Best Denver Suburbs for Rental Property Investors
Lakewood
Lakewood is one of Colorado’s best kept secrets, just seven miles west of downtown Denver. Boasting a median home sale price of $549,900, Lakewood is more affordable than Denver without missing any amenities.
Here’s a breakdown of median rent across Lakewood:
All property types: $1,850.
Single-family homes: $2,800.
Townhomes: $2,480.
Apartments/condos: $1,492.
The top employers in Lakewood include the municipal government and Encore Electric.
Check out the Belmar neighborhood to enjoy its sprawling modern outdoor center teeming with lively entertainment and shopping galore. Set time aside for a bite at Farmhouse Thai Eatery, then head to nearby Belmar Park, a 132-acre oasis complete with views of Kountze Lake.
Aurora
Rental property investors shouldn’t ignore Aurora. Located 18 miles east of downtown Denver, Aurora’s affordability and diversity makes it an exciting investment opportunity. The median price of an Aurora home here is $470,000, making it one of the most cost-effective suburbs.
Here’s a breakdown of median rent across Aurora:
All property types: $2,200.
Single-family homes: $2,800.
Townhomes: $2,400.
Apartments/condos: $1,752.
Between the range of housing options and a labor force empowered by top employers like UCHealth and Buckley Space Force Base, Aurora’s riveting industrial hub meets the needs of families and singles alike.
As such, popular Aurora neighborhoods are among the best places to invest. For example, Seven Hills is notable for rental property opportunities. It’s part of the Cherry Creek School District, one of the best districts in the state, appealing to young families. Nearby restaurants include the bold Yo Mommas Cantina, which serves a mix of traditional Mexican and Latin American flavors. Don’t miss the nearby Aurora Cultural Center for regular concerts and other family-friendly fun.
Arvada
Another fantastic Colorado suburb to consider is Arvada, about 11 miles northwest of downtown Denver. With a thriving cultural scene and a median home price of $600,511, plenty awaits investors here.
Here’s a breakdown of median rent across Arvada:
All property types: $2,375.
Single-family homes: $3,150.
Townhomes:$2,594.
Apartments/condos: $1,554.
Arvada’s tenant pool is supported by top employers like the Arvada House Preservation Limited Partnership and Peak Utility Services Group.
This suburb prides itself on its culture, and nowhere is that more apparent than the Olde Town Arvada neighborhood. Its iconic water tower will welcome you to its diverse array of restaurants, boutiques, and galleries. Grab tickets to whatever is showing at the Arvada Cultural Center for a night out you won’t soon forget, then stop by School House Kitchen and Libations for a culinary blast from the past.
Littleton
Littleton is an often-overlooked suburb. Nestled about 11 miles south of downtown Denver, this area presents your typical slice of suburbia with a luxurious twist. Littleton’s median home price is $575,000, slightly less costly than Arvada or Denver.
Here’s a breakdown of median rent across Littleton:
All property types: $2,200.
Single-family homes: $3,313.
Townhomes: $2,800.
Apartments/condos: $1,526.
The range in cost creates opportunities for Littleton tenants, many of whom are employed by top companies like Lockheed Martin and Centura Health.
To get a feel for the area, head to the Downtown Littleton neighborhood and book a table at the Melting Pot. Delight in a four-course fondue dinner, then you’ll be within walking distance of the Town Hall Arts Center and Five Wellbeing Spa for the most lush choose-your-own adventure around.
Stapleton
The final entry in our best places to invest list has to be Stapleton, also known as Central Park, located 10 miles northeast of downtown Denver. Though its median home price is a whopping $837,667, plenty of opportunities await investors here.
Here’s a breakdown of median rent across Stapleton:
All property types: $2,850.
Single-family homes: $2,874.
Townhomes: $2,800.
Apartments/condos: $1,923.
Top Stapleton employers include companies like Amazon and Deloitte, appealing to a wide array of tenants.
Check out the Beeler Park neighborhood for a mix of greenery, sustainability, and luxury. Snag a plate of Korean fried chicken at Bonchon located in the nearby Shops at Northfield to round out your visit.
Wrapping Up: Best Denver Suburbs for Rental Property Investors
With excellent suburbs from Arvada in the north to Littleton in the south, it can be hard for investors to know where they should expand their portfolio. Take guesswork out of the equation by working with an investor-friendly agent at Evernest. Whether you’re looking to start your rental property portfolio or want to expand your rental empire, Evernest has the expertise you need to thrive. Get started today!
