When life changes—whether it’s a job relocation, a growing family, or the desire for something new—Colorado homeowners often face a big decision: should you rent out your current home or sell it? Both options can be viable, but the right choice depends on your financial goals, lifestyle, and the unique conditions of today’s market. This roadmap walks you through the key factors to consider so you can move forward with confidence.
Step 1: Assess the Colorado Housing Market
Start with the big picture. As of mid-2025, the Colorado housing market is experiencing more balanced conditions. Inventory levels have increased compared to the pandemic peak, and buyers have more choices. Still, demand remains strong thanks to the state’s projected 1.2% annual population growth through 2030 and a resilient economy with a 3.5% unemployment rate, below the national average.
For sellers, this means your home is likely to retain strong value, especially in Denver, Boulder, and Colorado Springs. For potential landlords, it means rental demand also remains steady, as higher mortgage rates keep some buyers on the sidelines.
Step 2: Evaluate Your Financial Goals
Ask yourself what outcome you’re hoping to achieve:
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If your goal is liquidity: Selling may be the right move, unlocking your home equity—on average, Denver homeowners hold $275,000 in tappable equity.
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If your goal is cash flow: Renting can provide monthly income, but you’ll need to factor in mortgage payments, property taxes, insurance, HOA fees, and ongoing maintenance.
Crunch the numbers realistically. In Colorado, average rents in Denver are around $2,200 per month for a two-bedroom apartment in 2025, which may or may not cover full ownership costs depending on your property.
Step 3: Consider the Management Commitment
Being a landlord comes with responsibility. Tenant screening, property upkeep, and compliance with landlord-tenant laws all take time and effort. Many Colorado landlords hire property management companies, which typically charge 8% to 10% of monthly rent. This cost reduces net income but can relieve stress.
If you don’t want to take on the role of landlord, selling may be the simpler choice.
Step 4: Factor in Market Timing
Timing matters. If you believe Colorado home prices will continue to rise, holding onto your property as a rental could mean long-term appreciation plus rental income. On the other hand, if you need capital now for your next purchase or want to take advantage of current equity, selling ensures you capture today’s gains.
Step 5: Think About Flexibility and Lifestyle
Renting your home can provide flexibility if you’re unsure about leaving Colorado permanently. If your move is temporary, renting allows you to return in the future. Selling, however, may provide peace of mind and freedom to move forward without the ongoing responsibility of managing another property.
Step 6: Weigh the Risks
Every option carries risks:
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Renting Risks: Vacancies, unexpected repairs, tenant issues, and fluctuating rental markets.
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Selling Risks: Potential regret if property values continue to rise after you sell.
Understanding these risks helps you prepare for whichever path you choose.
Step 7: Seek Professional Guidance
The decision to rent or sell is complex, and the best path depends on both financial and personal factors. At Corken + Company, we help clients evaluate their options through a tailored approach, analyzing both market data and lifestyle goals.
Final Thoughts
Renting vs. selling is not a one-size-fits-all decision. By following this roadmap—assessing the market, clarifying financial goals, weighing lifestyle factors, and considering risks—you can make the choice that best fits your future. Whether you decide to unlock equity through a sale or build wealth through renting, Corken + Company is here to guide you. Visit www.corken.co or call 303-858-8003 to start the conversation.
