Denver renters eat up single-family homes, duplexes
Single-family homes, for-rent condos and duplexes are gaining traction in the Denver area, with the vacancy rate on rentals in these categories falling to 2.6% in the second quarter, compared to 3.8% last year, the Colorado Division of Housing said. The trend is in line with predictions that rentals will pave the way to a housing recovery. With the vacancy rate on these properties a full percentage point lower year-over-year, researchers in Colorado are recognizing a quantifiable trend: one in which standing, detached real estate — apart from apartments — is in high demand across Denver. Rental houses and duplexes experienced the highest demand with vacancy rates of 2.3% and 1.2%, respectively. Condominiums had a vacancy rate of 3.7% in the Denver area, while triplexes maintained a vacancy rate well over 4%. “There is very solid demand for these types of properties right now,” said Robert Alldredge, principal at Jericho Properties Realty. “Although we continue to see new properties entering the market as rentals, I’d expect to see vacancies remain at low levels for at least the next 12 to 18 months.” Rentals in these nonapartment categories are spending fewer days on the market, with their average stay falling from 47 days in the second quarter of last year to 15.7 days in the most recent quarter. As demand picked up, the average rent on single-families grew. In the most recent quarter, those properties rented for $1,063, up 3.5% from $1,027 a year earlier. Write to: Kerri Panchuk.