The math on renting vs. buying in Denver has shifted meaningfully in 2026. Per DMAR, starter home prices dropped 6% year-over-year — the steepest decline of any major U.S. metro. Meanwhile, Denver rents average $1,800-$2,200/month for a 1-bedroom and $2,200-$2,800/month for a 2-bedroom, with no equity building and no tax benefit.
On a $450,000 home with 5% down and a 6% rate, your principal + interest payment is roughly $2,575/month. Add property taxes (~$200/month in Denver County at 0.48%) and insurance (~$150/month) and you’re at ~$2,925/month — but you’re building equity and getting the mortgage interest deduction. Colorado’s flat 4.4% income tax and low property tax rates make the ownership side of the equation more favorable than many states. If you plan to stay 3+ years, buying typically wins. Under 2 years, renting is safer given transaction costs.