Real Estate Investing in Montrose, Colorado (81403)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 81403 (Montrose, CO)? Our answer, based on the numbers below.
Proceed carefully. Weak appreciation or affordability makes this a harder case for most buyers.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- Elevated vacancy: 8.7% vacancy may signal weakening demand.
- High price-to-rent: Price-to-rent ratio 38.6 — hard to cash-flow at these prices.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Montrose, CO (81403)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 81403 Montrose
Not every below-median market is a bargain. Montrose's 81403 ZIP reports signals that favor experienced operators who can absorb the risk $609K pricing implies.
The investment case in 81403 is sturdy only for operators who understand what they are buying. A $609K median suggests accessibility, but management intensity, vacancy drift, and capex surprises are real.
Within CO, ZIP 81403 trails on several market indicators that neighboring Montrose County submarkets outperform. The gap is real and impressive enough to shape underwriting.
Employment concentration in 81403 leans toward sectors with higher volatility. The demographic consequence is income fluctuation that investors need to factor into their pro forma.
The 81403 ZIP fits a narrow investor profile — hands-on, patient, and willing to accept that the cap rate on paper is not the cap rate in reality.
Here's what matters if you're considering buying a home in Montrose:
Property Strategy for 81403
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 1BR | $447,233 | $1,110 | 1.8% | +7.4% | $447,233 |
| 2BR | $518,888 | $1,460 | 2.0% | +8.1% | $259,444 |
| 3BR | $590,014 | $2,000 | 2.4% | +8.9% | $196,671 |
| 4BR | $758,128 | $2,330 | 2.2% | — | $189,532 |
| 5BR | $919,362 | — | — | +9.0% | $183,872 |
Market Trends
Home Value History (with trend line)
📊 How Does 81403 Compare?
| Metric | 81403 | Montrose | Montrose, CO | Colorado |
|---|---|---|---|---|
| Home Value | $609,036 | $521,391 | N/A | $535,778 |
| 5-Year CAGR | 5.4% | 5.4% | N/A | 4.9% |
| Avg Rent | $1,314 | $1,650 | N/A | - |
| Cap Rate | 1.7% | 2.6% | - | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 81403 (Montrose, CO). Anonymous, moderated, never written by AI.
Do you own or manage rentals in ZIP 81403 (Montrose, CO)?
~25 seconds · no account needed · your report is anonymous
📊 Market Snapshot
| Home Value | $609,036 |
| Monthly Rent | $1,314 |
| Price-to-Rent | 38.6:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 2.6% |
| Cap Rate | 1.7% |
| 5-Year IRR | 7.1% |
📈 Home Appreciation
| 1-Year | +3.6% ▲ |
| 3-Year CAGR | +3.7% ▲ |
| 5-Year CAGR | +5.4% ▲ |
| 10-Year CAGR | +7.5% ▲ |
🏠 Rent Trends
| 1-Year | N/A |
| 3-Year CAGR | N/A |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (1.7%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.
Run an IRR Analysis →⚠️ Risk Signals
Composite view of factors that can impact a ZIP's stability and your downside risk.
Demographics in 81403
Population: 11,955
Crime & Safety
Crime & Safety Data Coming Soon
We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.
Expected: Q1 2025
🎓 Schools in 81403
Schools in This ZIP Code
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
Frequently Asked Questions
What do rentals go for in Montrose, CO?
Expect rents around $1,314/mo per month in Montrose, CO. With home values at $609K, the yield math works out to reasonable levels for rental investors.
How do landlord-tenant laws work in Montrose, CO?
Rental owners in Montrose, CO deal with a landlord-friendly legal framework. Most standard eviction processes run on reasonable timelines.
Is real estate in Montrose, CO a good investment right now?
Montrose, CO stands at an investability rating of 3.0/5, with median home values near $609K and average rents around $1,314/mo. That combination puts it in the sturdy tier for investor interest.
How do experienced investors play Montrose, CO?
Most investors in Montrose, CO run a careful cash-flow rentals with hands-on management strategy. It aligns with the 3.0/5 investability profile and the market fundamentals.
How quickly do rentals get leased in Montrose, CO?
Occupancy in Montrose, CO runs consistent with elevated vacancy. Well-priced units at $1,314/mo lease on reasonable timelines.
You know 81403 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 81403 compares to every other market. Investor ($19/mo) screens every U.S. ZIP by cap rate, the 1% rule, vacancy and landlord climate, and exports your shortlist.
How 81403 ranks in Montrose, CO
Every ZIP in this metro, ranked. Free.
AI Market Advisor
Ask questions about investing in 81403 (Montrose)
Community Ratings
What people who’ve spent time here actually say. Not paid reviews.
Be the first to rate 81403 (Montrose, CO).
It takes 30 seconds. No signup. Your rating helps everyone who comes here after you.