Colorado Springs is home to many national parks and forests. Its natural beauty makes it a popular destination for sightseeing, adventure and, in the past few years, relocation. Located at the foot of the Rocky Mountains, it’s no surprise that the city’s real estate market continues to grow.
Current market conditions in Colorado Springs
- There has been a steady increase in the number of households, as well as a very significant increase in prices for both rental and sale of housing.
- While construction costs are on the rise, construction jobs and builder sentiment continue to rise.
- Employment in this city is also on the rise.
Buying a home in Colorado Springs
Home prices in Colorado Springs
Median home value in Colorado Springs: $ 420,000
National average: $ 371,000
Colorado Springs has seen dramatic increases in home values over the past few years. They saw an impressive 23.5% jump year after year – even higher than the national average (22.4%). Homes are selling on average almost 5% above the advertised price and in just a few days. The real estate market is booming and looks set to remain so for a while.
Accommodation in Colorado Springs
The Colorado Springs area is experiencing a severe home shortage. As is the case with most of the country, demand is high and supply is low, resulting in higher prices for home buyers. This is a great time for sellers to sell. Situations with multiple bids and bids with a lot of requests with little or no contingency are commonplace right now. Just remember – this is a great time to sell if you have somewhere to go. Otherwise, you’ll be right there with everyone, competing for the next house.
Buying real estate in Colorado Springs
The rental market in Colorado Springs has always been strong. This is a vacation spot with plenty to do and see. However, the demand for rentals is now even higher as travel bans have been lifted and travelers want to live their lives again and explore what Colorado Springs has to offer. Fresh air, hiking trails, rafting, historic sites and more attract people to this city. If you rent out properties in the area, you will quickly get tenants willing to pay big bucks.
Rental prices in Colorado Springs
Average rental price in Colorado Springs: $ 1,637.
National average: $ 1704
The rental price of real estate has increased significantly over the past few years. Compared to the national average of just 3% per year, Colorado Springs is more than triple the 10.1% growth. This means that if you have a rental property, you are fine. If you are looking to invest, now is a great time. You will pay more at first because home prices have also gone up a lot, but with this trend, you have to get your money back sooner than ever.
Vacancies for rent in Colorado Springs
Colorado Springs Rental Jobs: 3.21%
National average: 6.8%
Colorado Springs’ average rental space is less than half of the national average. This is impressive for the real estate market in this city. In the past few years, the number of vacancies has dropped dramatically. Investors looking to buy property for rent can be confident that when looking at properties in this thriving city, rentals will be quick and competitive.
Colorado Springs foreclosure rate: 0.1%
National average: 0.3%
The Colorado Springs foreclosure rate has remained at 0.1% for the past several years. On a national average, foreclosures have dropped significantly over the past few years, but Colorado Springs has remained unchanged since 2018. The city’s foreclosure rates have been lower than the national average for many years, which means investment opportunities look promising. The houses retain their value and people want to buy and rent here and also stay here for a long period.
Colorado Springs Foreclosure Lists
Neighborhoods in Colorado Springs
A popular suburban area of Colorado Springs is Gleneagle. It is a well-established neighborhood with houses built from the 1970s to the 2000s. These are single family homes and townhouses with 3 to 5 bedrooms, mostly occupied by the owner. Most of these owners are married and well educated. This affluent neighborhood has impressive homes, great schools, and a sense of community that attracts professionals with families.
The Black Forest in Colorado Springs is a rural town of larger, more expensive homes. These homes are more expensive than 91.5% of other US homes, averaging $ 727,589. Rental price – more than $ 3,000 per month; however, these houses are almost entirely owner-occupied. Mostly this city is made up of married people with professional jobs, sales and service. These families also typically own more than 4 cars, which is more cars per family than over 95% of other households in the United States.
Fort Carson is a suburban town made up of 100% rental properties consisting of medium-sized private homes and small apartment buildings. The vacancy rate is impressive – 0%.
Most of the tenants living here are future or current college students. Interestingly, this city is about half occupied by the military, and half by trade and services. Residents enjoy the pedestrian accessibility, safety and quality of life this city has to offer. The area also has a poverty rating of 0%.
Rock Creek Park is another great choice for suburban Colorado Springs. Homes average about $ 521,118 when sold and only $ 1,510 a month when rented. It is home to more active military personnel than 97.9% of the country, making it a popular destination for military families. It is an upper middle income area with a wide range of occupations and nationalities.
Economic condition of Colorado Springs
The past year has hurt the economies of all big cities, but Colorado Springs is on track for a major comeback. Job opportunities are growing and the number of households is growing steadily.
Colorado Springs unemployment
Colorado Springs unemployment rate: 6.7%
National average: 6.1%
The unemployment rate in Colorado Springs is close to the national average. But after a sharp jump in 2020, unemployment rates across the country are falling at a faster rate. While the country’s unemployment rate fell 8.7%, Colorado Springs saw an increase of 1% year over year. On the other hand, the employment rate in the city increased by almost 30%. Starting a business and increasing travel has helped boost employment and move closer to normal.
Top Employers in Colorado Springs
The largest industry in Colorado Springs is the military industry. Fort Carson is the base of the US Army, which employs the most people – more than 15,000 people. Other popular employers in the industry include the United States Air Force Academy and Fort Peterson Air Force Base. The army employs nearly 20% of the workforce in Colorado Springs.
Hewlett Packard, along with several other major electronics companies, has over 10,000 employees. Colorado Springs is a center for space research and explosive growth in the aerospace industry, so it is only natural that Colorado Springs needs high-tech companies to further develop projects. Fortunately, jobs and professionals are emerging in the area.
Another important industry worth mentioning is tourism. While tourism creates jobs and helps the economy grow, it is also attracting more and more people to Colorado Springs looking for a permanent destination. With millions of visitors a year and a steady increase in population over the past few years, it seems clear that people want to live where they vacation. Natural and man-made attractions have made the tourism industry an important part of the economy and permanent employment.
Colorado Springs Real Estate Market Results
Colorado Springs is definitely a market that continues to grow and thrive despite last year’s setbacks. Home sales and rental prices are booming, demand is high and employment is recovering. Better travel and economic conditions are helping Colorado Springs continue to climb beyond 2020. Keep this popular city on your radar for investments, vacations, and even relocation.