Denver, CO Short-Term Rental ROI Calculator
Analyze your Airbnb investment with live Denver market data. Pre-populated with real ADR, occupancy, and revenue benchmarks.
Investor Quick Take
Strengths
- Competitive ADR — $176/night market rate
- Low seasonality — consistent year-round income
Risks
- Moderate regulation — registration or permit required
Moderate Market
Based on ADR, occupancy, and supply metrics
Denver is a urban market with 55% average occupancy and $176 ADR.
We've pre-populated this calculator with Denver's market averages. Adjust the values to match your specific property.
Denver Short-Term Rental Market Overview
Denver draws consistent STR demand from business travelers, event tourism, and weekend visitors. As Colorado's major urban center, the city generates year-round occupancy that insulates investors from the seasonal volatility common in resort markets.
The average STR in Denver generates approximately $35,300 in annual revenue, with an average daily rate of $176 and a 55% occupancy rate across the year. These metrics position Denver as an accessible entry-point STR market — particularly attractive to investors seeking consistent year-round cash flow.
Active listings in Denver grew by 7% year-over-year, currently sitting at approximately 5,400 active STR units. This moderate growth rate suggests a market finding equilibrium between supply and demand, which typically supports stable occupancy and ADR. Investors should track supply trends quarterly using tools like AirDNA or Rabbu before committing capital.
Key considerations for Denver investors: regulatory risk is rated moderate — Denver requires registration or permits for STR operators. Compliance is manageable but adds time and cost to the investment process. Property management costs, cleaning turnover for short stays, and platform fee optimization are the primary levers operators use to improve net margin in this market.
Market Metrics
Denver Airbnb Revenue by Property Size
| Property Size | Avg ADR | Avg Occupancy | Avg Annual Revenue | Est. Cap Rate Range |
|---|---|---|---|---|
| Studio | $97 | 55% | $19K | 1.7–2.3% |
| 1BR | $134 | 55% | $27K | 2.3–3.1% |
| 2BR | $194 | 55% | $41K | 3.5–4.7% |
| 3BR | $255 | 55% | $55K | 4.7–6.3% |
| 4BR+ | $352 | 55% | $74K | 6.4–8.6% |
Denver STR Revenue Calendar
Seasonal Insight: Peak season runs October, April, and May. Expect up to 15% higher revenue during peak months. Plan for January and December as your slowest period — approximately 20% below the annual average.
Is Denver a Good Market for Short-Term Rentals?
Why investors choose Denver
- ✓Solid revenue potential: market average of $35,300 per year with upside for well-managed properties
- ✓Reliable occupancy: 55% market average provides predictable income baseline
- ✓Year-round demand: Denver's diverse visitor base prevents the seasonal cliffs common in resort markets
- ✓Growing market: 7% annual listing growth signals strong investor and visitor confidence
Key risks to consider
- !Permit requirements: Denver requires STR registration — add compliance costs and timeline to your underwriting
Denver STR Regulatory Overview
ModerateDenver requires a STR license and restricts non-primary-residence rentals. The city limits hosts to one license per person and caps non-owner-occupied rentals.
Key Requirements
- ·Host ID (primary residence only without special license)
- ·One license per host rule
- ·Lodgers tax collection (10.75%)
- ·Annual renewal and inspection
Source: City and County of Denver Finance · Last verified: 2026-01. Regulations change frequently — always verify current requirements with local authorities before investing.
Compare Denver to Similar Markets
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| Metric | Denver | Breckenridge | Vail | Aspen |
|---|---|---|---|---|
| ADR | $176 | $412 | $498 | $687 |
| Occupancy | 55% | 61% | 58% | 62% |
| Avg Revenue | $35K | $92K | $105K | $156K |
| Median Home Value | $545K | $1.1M | $1.6M | $3.9M |
| Regulatory Risk | Moderate | Low | Low | Low |
Denver Short-Term Rental FAQs
Is Denver a good market for short-term rentals?+
Denver, CO is an accessible US STR markets. With an average daily rate of $176 and 55% occupancy, the average listing earns approximately $35,300 per year. Market performance varies significantly by property type, location within the city, and management quality — this calculator helps you model your specific scenario.
What is the average Airbnb income in Denver?+
The average STR listing in Denver generates approximately $35,300 in gross annual revenue at a $176 average daily rate and 55% occupancy. Top-performing listings with premium amenities, strong reviews, and professional management can earn 30–50% above the market average. After platform fees (3–5%), cleaning costs, and other expenses, net revenue typically ranges 60–75% of gross.
What occupancy rate can I expect for an Airbnb in Denver?+
The market-average occupancy in Denver is approximately 55%. New listings typically underperform the market average for the first 3–6 months while accumulating reviews. Properties with professional photography, competitive pricing, and consistently high ratings can reach 67–73% occupancy. This market is relatively consistent year-round — consistent occupancy is achievable year-round with good pricing strategy.
What are the STR regulations in Denver?+
Regulatory risk in Denver is rated Moderate. Denver requires STR operators to register and/or obtain permits. The process is manageable but adds cost and lead time. Check with local authorities for current requirements. Regulations change frequently; always confirm current rules with local authorities.
What type of property performs best as an Airbnb in Denver?+
In Denver, the highest-performing STR properties are typically 1–2 bedroom apartments and condos near downtown. Guests in urban markets prioritize location, walkability, and modern amenities. The most efficient segment by revenue-per-dollar-invested is typically the 2-bedroom category.
What is the best season for Airbnb in Denver?+
Denver sees peak STR demand during spring (March–May) and fall (September–October). During peak season, top properties can command rates 15% above their annual average. Demand remains relatively stable throughout the year, with only moderate seasonal variation.
How much does it cost to buy an STR investment property in Denver?+
The median home value in Denver is approximately $545,000. With a 20% down payment, you'd invest roughly $125K in cash (including closing costs and setup). At the market-average revenue of $35,300/year, a property at median value would generate a gross revenue yield of approximately 6.5%. Use this calculator to model your specific purchase price, financing terms, and expense assumptions.
How does Denver compare to other STR markets?+
Denver offers accessible entry points relative to premium coastal markets. The $176 ADR is near the national STR average of roughly $185. For comparison, markets like Aspen and Malibu exceed $450 ADR but require significantly higher acquisition costs. Denver offers a lower barrier to entry with reliable occupancy fundamentals.
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