Why Should I Purchase a Rental Property in Golden, CO
Learn why Golden, CO is a great place to purchase an investment property and how a local property manager can help you make smart decisions when it comes to setting rent accurately to reduce days on market.
As an investor, you want to know that investing in a rental property in Golden, CO aligns with your strategy and helps you achieve your goals. Identifying the right data and numbers to calculate your return is an important step in making an informed, smart decision. Let’s take a look at the growth potential, real estate trends, and rental market statistics in Golden, CO.
About Golden, CO
Located at the foothills of the Rocky Mountains, Golden, CO is surrounded by scenic beauty that includes Golden Gate Canyon State Park. It offers Western, mountain charm as a suburb of Denver. Rich in history, the town was founded during the Pike’s Peak Gold Rush. A vast number of outdoor activities are available such as hiking, fishing, and skiing. Some commuters that work in Denver live in Golden to enjoy the outdoor activities it offers.
- Population: 20,365
- Low crime rate
- $58,630 median household income
Economy and Industry in Golden, CO
- 2.8% job growth in the past year
- 44.3% predicted job growth over the next 10 years
Made famous by its mention in the commercials, Golden is home to Coors Brewery, the world largest single-site brewery. Some of the other larger companies in the area include Lockheed Martin, HomeAdvisor, and Kaiser Permanente which show you the diversity in industries represented in the area. Golden is also home to the Colorado School of Mines and National Renewable Energy Laboratories. Some residents may commute to work at companies like Amazon closer to the Denver area.
The most common jobs are in the Education, Technical Services, and Healthcare industries. Many residents working in scientific and engineering positions in the area.
Real estate in Golden
- $589,000 average home value
- 6.9% increase over the past year
- 6.1% forecasted growth over the next year
- 7.9% appreciation over the last 10 years
Real estate in the area can be pricy which explains why half the population is renting. The area is forecast to grow and offers consistent appreciation. To see if this area works for you, run the numbers to see if you can expect cashflow, appreciation, or both. If the result fits your strategy and goals, Golden is probably worth further exploration for investment opportunities.
How to Accurately Set Rent for my Golden, CO Rental Property
When you are determining the rent for your Golden, CO rental property, look at the rental statistics about the area in addition to the current market trends.
- $1,505 average rent for 2 bedrooms
- $2,115 average rent for 3 bedrooms
- Days on market: 49 days
- Occupancy rate: 91%
- 50% renter occupied
- 49% owner occupied
When looking at current rentals to compare rates, make sure you are only looking at properties like yours in size, bedrooms, and unit type. As you can see above, one bedroom can make a significant difference in rent you can expect.
Half the homes in the area are renter occupied. This is most likely due to the high cost of real estate in the area making it more difficult for people to purchase a home.
Factors that can affect rent rates in Golden include:
- Market trends – are real estate prices going up or down?
- City growth - Is the city growing or shrinking?
- Time of year - Are you renting in the peak leasing season when you can expect the highest rent due to demand?
- Property type - Is your property what people are looking for?
Owning a property type that is popular with renters is going to help you find an interested tenant quickly. Marketing the property at the peak leasing season should help maximize the rent rate due to demand. Keep these factors in mind before you purchase a rental property as each of these can affect not only the vacancy time but also your rate of return.
If you want to know what your Golden rental property will rent for, contact Mynd for a FREE rental property analysis. We utilize both our proprietary operational data along with comparable MLS and off-market listings to create your property's unique rental-rate projection.
Why Should I Hire a Property Management Company in Golden, CO
Owning Golden rental property should be treated as a business.
How it is run will determine your success and the return you see year to year on your rental property. Hiring an experienced Golden property management company will ensure everything is taken care of including:
- Getting the property rent ready and up to code
- Marketing the property
- Tenant screening to find a quality resident
- Lease signing and enforcement
- Handling maintenance requests and emergencies
- Collecting rent and evicting when necessary
- Ensuring the property follows the laws regarding tenant safety
Laws and Regulations
There are local, state, and federal laws that apply to your rental property. If you are an out-of-state owner, you may be less familiar with the local regulations. As a property owner, you are responsible for knowing the laws and complying with them. These include, but are not limited to, laws such as:
- Colorado leases and rental agreement laws
- Colorado Security deposit laws
- Fair Housing Act
The laws are constantly changing, and it is your job keep up with them. If you hire a property manager, make sure they know the laws. Mynd property management has inhouse council that is up to date on all applicable laws and regulations. A good property manager keeps up with changes in laws to ensure you are not violating any local regulations.
Regular maintenance issues
Your property is in good hands with Mynd. We have a good relationship with quality vendors and can take care of everything from routine, preventative maintenance tasks to major rehab projects. Our property managers know how to manage a crisis such as COVID-19 to help keep your tenant safe. Some of the more common maintenance issues we see in the Golden area include:
- Heating and cooling systems
- Damage from pests
- Drains and pipes
Hire a Golden Property Manager
Whether you are looking for an investment property or management services, Mynd is here to help. Our three-tiered pricing program allows you to select the level of management you need. Contact us today about property management in Golden, CO.
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