Introduction
Colorado Springs, located at the eastern foot of the Rocky Mountains, is known for its stunning natural landscapes and a vibrant tourism industry. As an attractive destination for outdoor enthusiasts, the city has seen a surge in short-term rental properties, often listed on platforms like Airbnb. In this article, we will delve into the short-term rental market in Colorado Springs, examining key statistics and trends, and providing insights for potential hosts and travelers. Whether you’re interested in investing in a short-term rental property or planning a vacation in this picturesque city, this information will be invaluable.
Market Overview
Property Appreciation and Value
According to Zillow, the housing market in Colorado Springs has experienced a modest depreciation of 0.40%. However, the median home value remains relatively high at $449,123. This information is essential for potential investors looking to purchase property for short-term rentals.
Short-Term Rental Supply and Demand
As of the latest data from Chalet, there are 2,323 active short-term rental listings in Colorado Springs. The average daily rate for these properties stands at $201.80, with an occupancy rate of 62%. These figures indicate a healthy demand for short-term accommodations, making it an attractive prospect for property owners.
Revenue and Growth
The annual revenue for short-term rentals in Colorado Springs is estimated at $36,400. This suggests that the market is growing, which may present opportunities for those considering short-term rentals as a source of income.
Investment Potential
The average gross yield, a key metric for investors, is 8.10%. This means that short-term rentals in Colorado Springs can provide a relatively high return on investment. Additionally, property taxes are reasonable, at just 0.61% of the property’s value according to SmartAsset, making it an appealing choice for property investors.
