Should I rent first before buying in Denver?

People moving to Denver ask me this all the time: should I rent for a year before I buy? Sometimes that's the right call. Often it isn't.

When renting first makes sense

You don't know the city yet. Denver's neighborhoods are more different from each other than people expect. Park Hill and Central Park share a border and feel nothing alike: one is hundred-year-old brick on tree-lined blocks, the other was built on the old Stapleton airport after 2002. A few months of renting teaches you where you actually want to live, and that's worth more than a mortgage you regret.

Your job might not stick. If you're not sure the role will last, or stay in Denver, renting keeps you flexible. No transaction costs, and no pressure to sell in a hurry.

It's your first purchase and you're coming from another state. Renting gives you time to get pre-approved, learn your real budget, and buy without being rushed. Renting and then buying calmly beats buying in a rush and regretting it.

When it costs you

If your job is stable and you've already found a neighborhood you like, renting first usually costs you.

Rent builds nothing. At $1,800 a month, a year of rent is $21,600 you won't see again, where a mortgage payment puts part of that into equity.

You move twice. Rental first, then the house, which means two deposits, two application fees and two moving trucks.

Prices tend to rise, so waiting a year can mean paying more for the same house.

And nobody can time interest rates, me included. Waiting a year to see where they go is a bet. If the house and the job are right, buy the house. If rates fall later, you can look at refinancing.

How to use the time if you rent

Go to open houses. Drive through the neighborhoods you like on a Saturday morning, then again at 9 at night. Eat at the local places and talk to people who live there.

Get pre-approved early so you know your real budget. Ask the lender about Colorado's first-time buyer programs; renting for a while doesn't change whether you qualify.

Watch what sells. My Sold page shows what's closed recently, and I'm glad to send you new listings as they come up so you get a feel for pricing.

Write down your non-negotiables: walkability, parking, schools, old house or new, how much yard.

When you're ready, you'll move fast, because you'll know what you want.

My take

If your job is stable and a neighborhood already feels right, buy sooner rather than later. If you're genuinely unsure, rent for a few months. You don't need a full year; three months teaches you a lot. Then buy.

The worst mistakes run both ways: renting when you're ready to buy, just because you think you should, or buying in a rush after a year of going back and forth.