Now is certainly a great time to consider Denver Investment properties. The latest market data is showing a continued decline in vacancies and the rental rates remain on their upward trend.
Much of this has to do with the higher than normal rate of Denver HUD homes and foreclosures over the past 4 years (although those numbers have recovered drastically in the last 6 months). When someone has a foreclosure on their credit, purchasing a new home is usually not an option for 3 years. This forces the previous homeowner into the rental pool. This simply increase in demand for rentals creates the pressure on the supply of rental homes and the resulting increase in those rents.
However, all of this creates a perfect opportunity for those with the desire, and ability, to purchase Denver investment properties. While the market for fix and flip Denver homes has become much tighter and the profit margins slimmer, investors willing to buy “fix and hold” homes are having great success.
Buying Denver foreclosures at discounted prices and then fixing these homes up for renters, can be a highly profitable business – especially with the increasing rental rates we’re seeing. If you would like to talk more about this or learn more about Denver HUD homes and foreclosures, give our team a call at 303-726-1844.
From today’s Denver Post: