Rental market is very strong, so you can price your rental slightly higher knowing there is strong demand and limited supply. For pricing my rentals I see how other rentals located in the neighborhood are priced. I check Craigslist, Padmapper and also call "For Rent" signs. If I don't get any calls within 3 to 7 days of advertising my rental, I know I am priced too high and will reduce the rent.
Cherry Creek Properties, LLC
You've obviously already done some very good research. You're asking a lot of very good questions.
In many ways, buying a condo to be a rental unit is no different than buying a detached, single family home.
Add up the costs - all of them, including maintenance, property management, HOA, a set-aside for long-term maintenance, a cushion for miscellaneous, as well as the monthly mortgage, and see where you are. Will you be able to rent the unit for more than it's going to cost?
If the answer is yes, even by only a small margin, then you've passed the first test. Once you add in the tax advantages of owning rental property, you should be in very good shape.
Sometimes though, even if the calculation leaves you upside down a bit, you might be ok after taxes.
I once read (I apologize that I don't remember who to give credit to for this...) that a good rule of thumb is if you can buy a rental property that will rent for 1% of the purchase price, it's almost impossible to lose money. In other words, if you pay $100,000 and can rent it for $1000 per month - you're good to go. Until about two years ago, this equation didn't work anywhere in Denver and nothing was even close. As recently as about 18 months ago though, I saw many properties where it did work, so we're at an interesting time to be buying.
As for the HOA costs specifically, you're probably right, in general. I'm not sure there's a 'plan' for them to rise and rise as you describe, but that's probably the reality. It takes each development a little while to really understand their true costs as the property transitions from developer to HOA-direct managent. Also, different HOA's have different philosophies in terms of things like how much they want to set aside for long-term maintenance - new boilers and roofs, and pools, etc. Very conservative HOA's set aside much more for these things, and that's reflected in the monthly cost, but the advantage is that 'special assessments' are much less likely.
So - in my opinion, the best plan for you would be to find a bank-owned unit in a well-managed, existing development at least 3 to 5 years old, which has very little history of such units. Or maybe a unit which is quite a bit older that you can update a lot. Updating a condo - top to bottom - is much less expensive than doing the same on a house, so the return can be higher. This should allow you to buy low, hold, and sell for maximum return on investment, but all the while having very predictable costs.... more
You might want to contact some Property Management companies to see if they will assist you. The demand is high, so you have to be ready to swoop in and make an offer there and then if you like the property.
Hope the article below helps you... more
My experience is small pets not so bad but large or multiple pets will be difficult. If you are willing to pay a hefty pet deposit, sometimes landlords will say ok. Good luck!
Remax Prifessionals... more
Yes, it is legal to ask for an extra security deposit. Each lease renewal is a re-negotiation. However, I'd suggest that they account for the prior security deposit's use. In Colorado, failure to account for the deposit can result in serious penalties.... more
Hello, The rental vacancy rate in the Denver area is extremely low. This is allowing landlords to be very picky on who they rent to. This may be why you are not seeing many rentals that allow cats. If you are able to buy a home at this time, that could work better for you. Interest rates are at all time lows and buying a home in Denver will usually have a lower payment than renting. Please let me know if I can be of any further assistance.
J. David Lampe, REALTOR
Your Castle Real Estate
Some of the things that a tenant should be aware of when reviewing the lease:
1) What is the penalty if you pay the rent late?
2) Who is responsible for appliance, system repairs, etc if something breaks?
3) Who is responsible for utilities?
4) How long does the landlord/property mgmt have to return your security deposit after you move out?
5) Where is your security deposit being held (this is your money so you want to make sure they can return it after you move out).
6) Are pets allowed and what are the fees?
7) After the terms of your lease are over (typically one year), can you go month to month? How much notice do you have to give to move out (you want about 30 days).
A couple of other tips:
- Make sure to read the entire lease and ask the landlord/property mgmt any questions before signing. I have tenants initial each page to make sure they do review it.
- You must also sign a lead paint disclosure if the property was built before 1978. Make sure to review the lead pamphlet before signing the disclosure.
- Walk through the property before signing the lease and note/take pictures of anything that is damaged. You do not want to be responsible for fixing something that you did not break.
- Confirm that smoke detectors and carbon monoxide detectors are installed and working.
Cherry Creek Properties LLC
c: 303-913-5858... more
The zip code is likely 80211 or 80212, so you could try searching by that. I am a realtor in the neighborhood, so if you'd like any area info or maps, I'd be happy to help out! I think a lot of people post rentals on Craig's list - you might try there if you haven't already.
Welcome future neighbors.
There are many interesting neighborhoods in Denver which are within walking distance to "business" districts and if you count those that are serviced by bus transportation and light rail (our version of the El), then your possible choices will grow immensely.
I do have a couple of questions for you, though? When you speak of "business type districts," to what kind of businesses are you referring? Would these be office-type jobs in large buildings, would they be banks, would they be restaurants, or perhaps small boutiques? There are all of these types of businesses in downtown Denver, but perhaps you were focusing in certain industries for possible employment and by knowing which industries you are focusing on, I may be able to point you more specifically towards certain areas of town.
Also. what do you enjoy doing? I know that for me, where I live is tied more to what I like to do outside of work than it is to what I do for work. Understandably you don't want to drive 45 minutes or more each way to work, but you might find that Denver is a bit more spread out than Chicago and not always as convenient in some respects. This being said, do you like to eat out at a different restaurant every night? If so, there are certainly neighborhoods better suited to this than others. Or perhaps you and your boyfriend really enjoy a walk around the park after dinner? There are some really amazing open spaces right in the city that you might enjoy.
The point that I would like to make to you is that without knowing who you are and what it is that you both want out of the neighborhood in which you live, it would be difficult for anyone to suggest an area of Denver for you to live in. If you would like, I would be more than happy to talk with you both about your plans, by phone or email, so that I might better help you find what you are looking for in Denver.
Spencer R. Madison
Your Castle Real Estate
That all depends on your preferences, lease amount, and amenities such as schools, age of home, proximity to your job, etc. Let me know some details and i will be glad to help. Good success in your search.
Robert McGuire ASR
Your Castle Real Estate
1776 S. Jackson St. #412
Denver CO 80210
Direct – 303-669-1246... more
As long as you gave him/her 30 days notice, and there is no stipulation in the contract (which you do not have anymore) saying you have to pay a full months rent then you should be entitled to only pay half of september in my opinion. One thing you might want to mention to you landlord is that in Colorado we have treble damages, and if he wants to go down this road he could wind up paying you three times the amount he is requesting. Also, you might want to tell him that there is 1.5% vacancy in the denver area, and he should have no trouble finding a new tennant. If you have more questions fee free to contact me, I specialize in first time home buyers, so I have dealt with issues like this before. My cell is 7202893027, and my email is Jimismyagent@gmail.com.
Your Castle Real Estate Inc.... more
Here is a link to many rent properties available in the Highlands:
If you decide to put that RENT MONEY IN YOUR POCKET by purchasing a property, there has never been a better time to buy- the first time home buyer tax credit of up to $8000, rates are lower than they have been in 50 years. Also, it can be possible to get a loan for as little as around 3% down. If you can afford to buy- DON"T MISS THIS UNIQUE TIME IN THE WORLD and the potential to make TONS of money when you decide to sell in the years to come.
I am always glad to answer any real estate (renting or buying) questions that you have on the Highlands area. And, if you'd like, I can email you properties for purchase (condos, townhomes, or homes) available in the area. When buying a property my services are free!
Let me know how I can help!
Realty Xpress, Inc.