Denver metro rents are up compared to this time last year, but the market continues to flatten

There’s concern over how a construction slowdown might affect things.

Cranes sway in the wind, April 17, 2018. (Kevin J. Beaty/Denverite)

Cranes sway in the wind, April 17, 2018. (Kevin J. Beaty/Denverite)

Donna Bryson. (Kevin J. Beaty/Denverite)

Average rents in the Denver metro area were at $1,503 in the last quarter of 2019, up $47 — 3.2 percent — over this time last year and down slightly from the previous quarter, according to the latest Denver Metro Area Apartment Vacancy and Rent report.

Mark Williams, executive vice president of the Apartment Association of Metro Denver, the landlords’ group that coordinates and publishes the rent report, said the market was continuing to flatten. The 3.2 percent growth over the last year was the slowest since 2011.

“The increased inventory is working to bring down rental prices, but there is concern that a slowdown in construction could edge prices up again,” Williams said in a statement.

Teo Nicolais, who studies real estate and is a member of the apartment association, added in the statement that “new supply isn’t quite keeping up with new demand. In 2019, the number of apartment renter households increased by 10,830 but only 9,952 new apartment units were built.”

About 12,300 apartments were added in 2018 when demand also outweighed supply. In 2018, the number of apartment-renting households increased by 13,709.

The average vacancy rate dropped from 6.4 to 5.8 over 2018, and from 5.8 percent to 5.4 percent over the past year.

The Denver Metro Area Apartment Vacancy and Rent Report is conducted by the University of Denver’s Daniels College of Business and Colorado Economic and Management Associates and is sponsored by the Colorado Division of Housing and Newmark Knight Frank Multifamily.

Hi! You’re like us!

Looks like you’re the type of person who reads to the ends of articles! Well, true believer, you might really like our morning newsletter. It’s quick, free and gets you up to speed on the important and delightful things happening right here in Denver.

Thanks for reading another Denverite story

Looks like you’re the type of person who reads to the ends of articles! Well, true believer, you might really like our morning newsletter. It’s quick, free and gets you up to speed on the important and delightful things happening right here in Denver.Does Denverite help you feel more connected to what’s up in your area? Do you want to be a part of it?

Member donations are critical to our continued existence and growth.

Thanks for reading another Denverite story

Does Denverite help you feel more connected to what’s up in your area? Do you want to be a part of it?

Member donations are critical to our continued existence and growth.

You’re our superpower

Denverite supporters have made the decision to financially support local journalism that matters to you. Ready to tell your networks why? Sharing our “About” page with your own personal comments could really help us out.

You’re our superpower

Denverite members have made the decision to financially support local journalism that matters to you. Ready to tell your networks why? Sharing our “About” page with your own personal comments could really help us out.