Duplexes make solid investments in Denver with 6-9% cap rates, steady rental demand from professionals and small families, and FHA financing at 3.5% down for owner-occupants—cash flow of $400-$800/month per unit after expenses, plus appreciation, suits live-in or remote investors in the Colorado housing market.
Duplex Investment Fundamentals
After 15+ years in Denver real estate and thousands of transactions, I evaluate duplexes by gross rents ($4,000-$5,500/month combined) minus 50% operating costs, PITI at 6.25%, and HOA if applicable—netting positive flow builds equity fast. FHA 203(b) loans house-hack one side; conventional 5-10% down for pure investments. Low vacancy (4-6%) from dual units hedges risks; scale via BRRRR (buy, rehab, rent, refi, repeat). Exit flips yield 20-30% after 2 years, or hold for 4-6% annual growth.
Diversification beats single-family volatility.
Denver-Specific Duplex Opportunities
Littleton real estate duplexes near public schools rent $2,200/unit steadily, flexing without Highlands Ranch covenants—budget clay pipe fixes for older builds. Highlands Ranch townhome-duplexes pull $2,500/side amid $150-$400 HOA fees, drawing families to Mountain Vista zones. Core Denver edges like Baker offer $2,800/unit urban appeal. Market cycles favor balanced winters for buys (prices dip 3-5%), spring leases lock highs. Douglas County borders add larger lots; compared to Littleton flexibility, Highlands Ranch stabilizes via villages but caps yields slightly.
Walkability premiums 15% rents.
Practical Advice for Buyers and Sellers
| Metric | Target | Screening Rule |
|---|---|---|
| Monthly Cash Flow | $500+/duplex | 1% total price |
| Cap Rate | 7-9% | NOI / Purchase |
| Debt Service | 1.25x coverage | Stress 10% vacancy |
Investors, live-in first via FHA—verify zoning for duplexes, use 50% rule; refi out after year 1.
Sellers, market to investors—highlight separate meters, price 10-15% under SFH comps.
My hands-on, concierge-level service pinpoints duplex deals block-by-block, weighs school/HOA fits through market cycles, builds pricing from local sales, and negotiates relentlessly for leveraged returns. Clients are long-term relationships and friends, not transactions—integrity, honesty, transparency, and relentless work ethic craft winning portfolios.
If duplex investing aligns with your Denver real estate goals—Littleton, Highlands Ranch potentials—reach out anytime. I’m here for a no-pressure conversation and honest guidance tailored to the Colorado housing market.
Mile High Home Group - Welcome to Denver 
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