UPDATED: May 28, 2024
With its stunning landscapes, mounting tourist attractions and ever-growing economy, Colorado is not surprisingly a state to which many Americans flock. U.S. News & World Report ranked the Colorado cities of Boulder and Colorado Springs among the top 10 best cities to live in the U.S. in 2023 and 2024 – and other Colorado cities made the broader list.
Aside from the quality of life that the state can offer, Colorado has no shortage of available real estate that can make for a solid investment. The state’s overall economy and housing market have steadily expanded in recent years, although the cost of housing in Colorado has actually fallen considerably in some areas from where it was in early 2023.
Buying a house in Colorado shouldn’t be that complicated for in-state residents, but if you’re pondering a move to Colorado from another state, you’ll have quite a bit more to think about. Let’s explore some of the best cities the Centennial State has to offer and what you need to know before taking the leap.
If you’ve decided that buying property in Colorado is right for you, the next step is to choose your city. Of course, this decision may be dictated by your school, career or other nonnegotiable factors. But if you can work remotely, are open to starting a new career or just want to purchase an investment property, these cities could be a good place to start.
Next, we’ll look at the top five Colorado cities for real estate, according to Rocket HomesSM. We identified these cities based on their unique attractions, real estate trends and overall popularity.
Described as “the city nestled between the mountains and reality,” this creative community is only 30 minutes from the big city of Denver but offers its own unique appeal. With numerous hike and bike trails, top-rated restaurants and a large shopping center, Boulder has plenty to do.
Also known as the Mile High City, Denver seamlessly blends city living with outdoor adventure. A short distance from the Rocky Mountains – and the ski slopes that occupy them – this city is known for its world-class cultural attractions, major museums and a growing music scene. As a bonus, the conveniently located Denver International Airport (DEN) makes this an easy destination for travelers.
Founded as a resort town in 1871, Colorado Springs is a historian’s dream. It’s the second-largest city in the state, boasting over 55 area attractions, including one of America’s most famous landmarks – Pikes Peak – which inspired Katharine Lee Bates to write the lyrics to “America the Beautiful.” Other attractions include museums, scenic parks and trails, and a zoo.
Home to Colorado State University and northern Colorado’s Rocky Mountain National Park, Fort Collins – located north of Denver – is arguably the ultimate college town. Despite its close proximity to the state’s city hub, Fort Collins is a destination in and of itself, offering striking scenic views, dynamic nightlife and a reputation as one of the Centennial State’s top craft brewery hubs.
Just east of Denver, Aurora was originally developed as a military town, as proven by its historic and repurposed airfields most recently used for the creation of Stanley Marketplace – a food-centric community market. Home to state parks, golf courses and a rising art scene, Aurora has plenty to see and do but is also conveniently near the attractions of Denver.
The process of buying a house in Colorado is essentially the same as buying a house in any other state, but it’s a good idea to keep some common lender requirements and Colorado-specific considerations in mind – especially if you’re a first-time home buyer. These include:
Market trends and predictions can be a great way to strategize your home buying timeline. For example, weather in Colorado directly impacts home prices during the late fall and winter months, with far fewer homes available for purchase in November than June.
Although this doesn’t make it impossible to buy a house in the winter, it does mean you’ll have fewer homes on the market to choose from – so you may be better off targeting the warmer months.
It’s possible to make buying a house in Colorado more affordable. Consider these options as you explore your financing options:
Be aware that when buying a house out of state, you may end up making an offer on a house without seeing it. Although you may think you have a clear picture of the home from the photos in the listing, this is rarely the case. When you can’t visit the house, it’s important to send a trusted representative – ideally your real estate agent – to look at it for you. Taking this step in the home buying process can help you avoid unpleasant surprises.
Moving to Colorado from another state can be quite an adjustment. If you still have questions about relocating to Colorado, you may find the answers below.
Colorado generally offers residents a high quality of life and lots to do, but homeownership tends to be expensive compared to many other states.
Still, if you find a home in your price range and are prepared for the monthly mortgage payment, down payment and closing costs that would come with it, Colorado can be a great place to purchase a home.
This will depend on the home’s purchase price and the type of home loan you get. Conventional loans require putting down at least 3% of the purchase price, while FHA loans usually involve a 3.5% down payment.
While home prices in Colorado have trended upward over the last several years, they’ve decreased in more recent times. In Boulder, for example, median sold prices dropped by $42,753 from February 2023 to February 2024.
Home price trends will vary, of course, depending on which Colorado city or area you’re looking to live in.
The process of moving from one state to another can be overwhelming and stressful. With the right planning, strategy and timeline, however, you can make your dream of owning a home in Colorado a reality. With a strong economy and unique cultural attractions, Colorado is a state that many people might find it worthwhile to consider.
If you find a home you love in Colorado and need a mortgage, start the application process today with Rocket Mortgage®.
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