The economy in Colorado Springs has experienced remarkable growth this year -- especially in terms of residential real estate and the rental value of apartments. There has been a 7 percent increase in rental income from apartments, and a 4 percent market vacancy for apartments. The growth has attracted investments from Denver and the West Coast, who currently have their sights on Colorado Springs as a profitable real estate investment opportunity.
Real estate industry experts are saying that the boost to the Colorado Springs real estate economy is all about job growth and population growth. The managing director of Sperry Van Ness says that increasing job growth will result in high occupancy rates in Colorado Springs apartments. Rents in Colorado Springs remain affordable, the director says, and there is room for these rents to increase. Due to the affordability of Colorado Springs compared to Denver, more people are choosing to live in the area.
The Principal at Apartment Appraisers & Consultants says that the population and job growth in Colorado Springs will support real estate investment in the area, as Colorado Springs is benefiting from a 2 percent annual population growth since the early 2000s. He expects that El Paso County will experience a population growth of 300,000 people from 2010 to 2040. He also says that the area has been creating more jobs than it needs each year to support this kind of growth.
Long story short, things are looking good in Colorado Springs. However, if you want to take advantage of future real estate profits in the area, you'll want to make your investments the right way by adhering to appropriate real estate laws and using the law to your advantage during all of your residential real estate investment transactions.
Source: Colorado Real Estate Journal, "Springs achieves highest rent growth in area," Tatiana Bailey, Nov. 27, 2017