If you’re considering starting an Airbnb in Colorado, now is the time.
With the stunning rocky mountains towering in the distance, more sunshine than anywhere else in the country, and great amenities, Colorado ranks among the top ten places in the U.S. for Airbnb hosts.
There are many advantages to hosting an Airbnb in Colorado, including access to some of the most beautiful natural landscapes in the country and a wide variety of world-class activities for guests to enjoy, including skiing, dining, shopping, and live entertainment.
In this blog post, we’ll provide an overview of how to start an Airbnb in Colorado, including:
- Associated benefits and requirements
- Gow to get started
- The most popular Airbnb locations in Colorado
- Tips for running a successful Airbnb in the Mile High state
Benefits of investing in a Colorado Airbnb
With almost 85 million visitors annually, Colorado offers a large pool of guests—both from in-state and out-of-state, making it a potentially lucrative investment without much effort.
Airbnb hosts can tap into some of Colorado’s $21.9 billion in tourism dollars while enjoying the flexibility of running a small business and the opportunity to earn a steady income stream.
What’s your loan scenario?
What are the requirements to start an Airbnb business?
Before you start an Airbnb in Colorado or anywhere in the country, it’s important to understand the requirements.
First, you’ll need to ensure that your property meets all of the local, state, and national regulations for short-term rentals. This includes Colorado’s new short-term rental laws.
Colorado’s new short-term rental laws
In 2020, Colorado gave counties the right to set their own laws regarding short-term rentals. Aspen blocked new permits for these rentals and the construction of homes, while other mountain towns like Crested Butte and Telluride relaxed their regulations to acquire more taxes.
Breckenridge enacted a limit on the number of short-term rentals, while Frisco only allows people to rent out properties they live in—making it an ideal choice for duplexes or triplexes.
What are the steps to open an Airbnb in Colorado?
Once you’ve reviewed the requirements for starting an Airbnb in Colorado, it’s time to decide on the type of Airbnb you want to own.
Smaller rental units often require less upkeep and have fewer appliances or features that need to be maintained, making them an appealing choice.
If you plan on living in Colorado, a duplex or multi-unit property can provide multiple income opportunities while helping you pay off your mortgage.
Once you’ve decided on the type of property you want, you can explore Airbnb locations in Colorado.
Popular Airbnb Locations in Colorado
Colorado offers many potentially popular Airbnb locations, from mountain towns to ski resorts and national parks to business centers.
Let’s look at some of the most popular Airbnb locations in Colorado.
Denver
The largest city in Colorado, is also one of the most popular destinations for Airbnb guests. Denver is home to various attractions and activities, making it a great location for an Airbnb. Popular destinations include:
- Red Rocks Park and Amphitheatre
- Denver Zoo
- Coors Field
- Denver Botanic Gardens
- The Denver Art Museum
- Denver Museum of Nature & Science
- The 16th Street Mall
Boulder
Boulder is a popular outdoor destination for outdoor enthusiasts, with plenty of hiking and biking trails. It’s also home to the University of Colorado, making it a great spot for Airbnb hosts hoping to attract students and faculty. In addition to C.U., Boulder boasts many popular attractions, including:
- Chautauqua Park
- Flagstaff Mountain
- Boulder Falls
- The National Center for Atmospheric Research (NCAR)
- Pearl Street Mall
- Eldorado Canyon and Rocky Mountain National Parks
Estes Park
Situated along the Big Thompson River, the mountain town of Estes Park is the headquarters for the Rocky Mountain National Park, a popular destination for hikers and nature lovers alike.
The Aerial Tramway offers tourists breathtaking views from the top of Prospect Mountain and is a popular Estes Park attraction. Classic film buffs and horror has been a top tourist draw for decades.
As the inspiration for Stephen King’s classic horror novel The Shining, The Stanley hotel offers visitors a unique experience with ghost tours and live music events.
Breckenridge
A popular ski resort in Colorado, Breckenridge is a great spot for Airbnb hosts looking to attract skiers, snowboarders, and other winter enthusiasts.
Breckenridge remains a popular draw year-round thanks to attractions that include the Peak 8 Fun Park, the Carter Park and Mountain Bike Trail, and Breckenridge Golf Course.
Colorado Springs
In addition to being close to several ski resorts, making it a great spot for Airbnb hosts interested in winter guests, Colorado Springs is also home to a wide variety of year-round attractions, including the U. A. Air Force Academy and the Garden of the Gods.
It also has some of the most amazing sunsets guests will ever see.
Strategies for choosing the right location for your Airbnb
The most important consideration when choosing a location for your Airbnb in Colorado is deciding on the type of guests you’re looking to attract.
For example, if you want your Airbnb to attract outdoor enthusiasts, you’ll want to choose a location close to trails and parks.
If you’d rather cater to skiers and snowboarders, you’ll need a location close to a ski resort.
Airbnb resources in Colorado
Several municipalities offer information for Airbnb rentals, including Denver, Colorado Springs, and Breckenridge.
These are great resources for anyone interested in running an Airbnb, offering information about regulations and taxes and tips for running a successful one.
Are you ready to start an Airbnb in Colorado?
If you’re ready to look at financing options for your Colorado Airbnb—without the hassle of traditional financing—submit your loan scenario to Marquee Funding Group today.
As a private money lender, we approve financing based on the deal’s merit. This can be ideal for self-employed borrowers, borrowers unable to conform to conventional documentation requirements or potential borrowers in unique scenarios requiring fast financing.
Loan options with Marquee Funding include:
- Owner and non-owner-occupied loans
- Single- and multi-family loans
- Commercial and industrial loans
- Land and construction loans
- Loan amounts ranging between $50,000 to $20 million
- Deal-specific LTV of up to 70%
Reach out to our expert team of private lenders if you’re considering an Airbnb in Colorado and are exploring financing options. We’re happy to answer your questions about our unique process.