Analyzing Denver's Rental Market: Insights from the Latest Data

As we delve into Denver's rental market, the latest February figures from Zillow offer us a comprehensive view of the current trends across various home types. Here, we break down the data to understand the dynamics in median rent, available rentals, and the Days on Market (DOM) where available.

What does DOM mean you may wonder? DOM, or days on market, means how many days the average property is marketed for rent. DOM is roughly how long you wait before you earn rent.

The Denver Market Overview

The overall median rent for all properties in Denver stands at $2,100. With a total of 3,324 rentals available, the market offers a variety of options for potential renters. However, the Average DOM data is not available for the collective property types, which leaves us focusing on specific home types to gauge the pace of the market.

Diving into Home Types

Houses

Houses in Denver present a strong market with an average DOM of 42 days. The median rent for houses varies significantly based on the number of bedrooms:

• Studio houses have a median rent of $1,817 and an average DOM of 41 days, suggesting a niche market with a relatively quick turnover.

• 1-bedroom houses show a median rent of $1,700 and an average DOM of 50 days, indicating a slower movement in this segment.

• 2-bedroom houses are at a median rent of $2,400 with a quicker DOM of 38 days, reflecting higher demand.

• 3-bedroom houses are fetching $2,995 in median rent with a 45-day DOM.

• 4-bedroom houses top the chart with a median rent of $3,875 and the fastest DOM at 36 days, highlighting a robust market for larger homes.

Apartments and Condos

Apartments and condos, which make up a significant portion of the market with 2,336 available rentals, show no available DOM data. However, median rents provide insight into this sector:

• Studios are the most affordable at $1,381.

• 1-bedroom units have a median rent of $1,625, showing a slight premium for the added space.

• 2-bedrooms are priced at $2,057, and

• 3-bedrooms at $2,661, indicating a step-up as needs grow.

• 4-bedroom apartments and condos are a rarity and command a median rent of $3,003.

Townhomes

Townhomes in Denver offer a blend of space and community living, with a total of 300 available for rent. They show diverse DOM trends:

• Studio townhomes have a median rent of $1,750 and a DOM of 52 days.

• 1-bedroom townhomes present a higher DOM of 59 days, with a median rent of $1,950, perhaps reflecting a lesser demand for this style in smaller units.

• 2-bedrooms have a median rent of $2,800 and a DOM of 46 days.

• 3-bedroom townhomes find a median rent of $3,350 and a slightly lower DOM of 41 days, indicating a good market movement.

• 4-bedroom townhomes seem to be in high demand, with the lowest DOM at 30 days and a high median rent of $4,100, showcasing a premium on spacious layouts.

Trends and Recommendations

The Denver rental market displays a vibrant landscape with varying demand based on home types and sizes. Larger homes, particularly 4-bedroom houses and townhomes, appear to move faster in the market, signifying a demand for larger living spaces.

For potential renters and investors, these insights from Zillow's data are invaluable. They underline the importance of considering the type and size of a property in relation to market demand and turnover rates.

As always, we encourage customers to do their research using the comprehensive data available from Zillow rental market trends. This will help to tailor decisions to the nuances of the market, ensuring informed choices whether you're looking to rent out your property or searching for your next home.

This data was pulled on February 15, 2023 and changes often based on market activity.