Buy vs Rent in Denver, CO (2026)
Median home price $530K · 1BR rent $2,000/mo · Price-to-rent ratio 22.1x.
Monthly cost of buying — 3 scenarios
30-year mortgage at 7% · Includes property tax, insurance, and maintenance estimates
| 3.5% down (FHA) | 10% down | 20% down (conventional) | |
|---|---|---|---|
| Down payment | $18,550 | $53,000 | $106,000 |
| Mortgage (P&I) | $3,403/mo | $3,173/mo | $2,821/mo |
| Property tax (est.) | $486/mo | $486/mo | $486/mo |
| Insurance (est.) | $221/mo | $221/mo | $221/mo |
| Maintenance (est.) | $442/mo | $442/mo | $442/mo |
| Total monthly cost | $4,552vs rent: +$2,552/mo | $4,322vs rent: +$2,322/mo | $3,970vs rent: +$1,970/mo |
| Income to qualify | $145,843/yr | $135,986/yr | $120,900/yr |
| Break-even (approx.) | ~1 yrs | ~2 yrs | ~4 yrs |
While renting, grow your down payment faster
High-yield savings accounts earning 4–5%+ APY — put your rent savings to work.
Denver housing context
Frequently asked questions
Is it better to buy or rent in Denver?
With a price-to-rent ratio of 22.1x, renting is often more cost-effective in Denver in the short term. Buying makes more sense if you plan to stay 7+ years and can make a larger down payment.
How much do I need to earn to buy a home in Denver?
With a median home price of $530K in Denver, you'd need an annual income of roughly $120,900 to qualify with 20% down (at 7% rate, 28% housing ratio). With 10% down, you'd need about $135,986/year.
Mortgage at 7% 30-yr fixed · Property tax 1.1% est. · Maintenance 1% est. · Zillow, BLS · Q1 2026 · For general guidance only