Few areas of the country have seen more expansion in population than Denver. Over the past ten years, the population of Denver has grown by more than 20 percent. A new decade sees new residents continuing to stream in with many attracted by the growing number of employers setting up shop.
The Trend Towards Renting
More people equals the need to create more places to reside. While homeownership is up 21 percent as are real estate prices with 104 percent growth, construction companies also swooped in to meet the demand of those looking to rent. Newly built multifamily homes and apartment complexes currently enjoy an occupancy rate of 94 percent, well above the national average.
A significant part of the real estate expansion in Colorado’s capital city includes apartment construction, an area where Denver ranks high in the nation. Developers seized on the opportunity to increase the number of units to attract wealthier Denver Metro residents to high-end housing.
Specific data includes:
- More than 61,000 rental units were built over the past ten years, putting Denver in the top ten nationally.
- Renters increased by 17 percent, with average monthly rental payments skyrocketing by 85 percent.
- No age segment was left behind with increases in all categories with 35 to 59 year-olds leading the pack at 29 percent growth since 2010.
- The sixty and older demographic came in second with increased occupancy of 25 percent.
- Wealthy Denverites seem more drawn to renting, pushing Denver to 11out of the top 20 cities while significantly increasing the overall number of high-wage earners.
- State residents enjoying significant largesse compose a little more than four percent of the renter population, an increase of nearly 300 percent over the decade, doubling the national numbers.
- The growing trend towards renting in the suburbs saw tenancy increase 19.5 percent compared to urban areas at 18.5 percent. Both numbers exceeded the national average.
Both owning and renting carry their share of benefits and drawbacks. Ultimately, the decision for a prospective owner or tenant comes down to their respective financial pictures. Such an important decision may require the help of an experienced, Denver-based real estate attorney.