Airbnb Rules and Regulations in Colorado Springs, Colorado

As of 2024, Colorado Springs has a comprehensive set of regulations for short-term rentals, aiming to strike a balance between the rights of property owners and the preservation of neighborhood character. Hosts must obtain a permit, valid for one year and with a $119 fee, to legally operate an Airbnb. The city distinguishes between owner-occupied and non-owner-occupied rentals, with the former requiring the owner's presence for at least 185 days annually.

Non-owner-occupied units face zoning restrictions and must maintain a 500-foot buffer from other short-term rentals. All hosts are expected to adhere to safety codes, occupancy limits, and parking guidelines. Additionally, they must designate a local contact person, like a co-host or property manager, to address any concerns within an hour. While the regulations may seem stringent, they are designed to ensure a harmonious coexistence between short-term rentals and the local community, fostering a thriving and sustainable tourism industry in Colorado Springs.

Colorado Springs Airbnb Market Data:

• Average Revenue – $26K per year
• Average Daily Rate – $139.1 per night
• Average Occupancy Rate – 64%
• Average RevPAR – $90.3
• Average Home Prices – $449,123

1. Top Place to Invest in Colorado Springs, Colorado - Knob Hill

Nestled in the heart of Colorado Springs, Knob Hill is a charming neighborhood that offers a perfect blend of history, convenience, and potential for great demand. With its proximity to downtown and a variety of local attractions, this area is poised for growth in the short-term rental market.

Knob Hill Airbnb Market Data:

• Average Revenue – $27.5K per year
• Average Daily Rate – $131.4 per night
• Average Occupancy Rate – 72%
• Average RevPAR – $94.1

Convenience - 8/10

Knob Hill boasts a prime location, with easy access to major highways and public transportation. The neighborhood is just minutes away from downtown Colorado Springs, making it an ideal spot for travelers seeking convenience. Grocery stores, restaurants, and shops are all within walking distance, adding to the area's appeal.

Tourist Attractions - 7/10

While Knob Hill itself may not be a major tourist destination, its proximity to popular attractions makes it an attractive option for visitors. The Colorado Springs Fine Arts Center and the Olympic Training Center are just a short drive away, while the stunning Garden of the Gods park is a mere 15-minute journey from the neighborhood.

Things to Do - 6/10

Knob Hill offers a quiet, residential atmosphere, which may not be ideal for tourists seeking constant entertainment. However, the neighborhood does have a few local gems, such as the charming Bon Ton's Cafe and the historic Evergreen Cemetery. Visitors can easily venture into downtown Colorado Springs or the surrounding areas for more diverse activities.

Average Home Prices - 7/10

As of 2024, the median home price in Knob Hill sits at $450,000, according to Zillow data. This represents a modest 3% appreciation rate over the past year, indicating a stable and growing market. While prices are slightly higher than the Colorado Springs average, the neighborhood's prime location and potential for Airbnb income make it an attractive investment opportunity.

Proximity to Work-Related Travel - 8/10

Knob Hill's central location makes it an ideal choice for travelers visiting Colorado Springs for work-related purposes. The neighborhood is just a 10-minute drive from the Colorado Springs Convention Center and a 15-minute drive from the UCHealth Memorial Hospital Central. Additionally, the area is well-connected to major sports venues, such as the Broadmoor World Arena.

X-Factor - 7/10

What sets Knob Hill apart is its unique blend of history and modern convenience. The neighborhood features a mix of charming bungalows and newly renovated homes, creating an eclectic and inviting atmosphere. The area's walkability and proximity to local favorites like the Ivywild School, a former elementary school turned community marketplace, add to its distinctive character.

2. Top Place to Invest in Colorado Springs, Colorado - Downtown

In the heart of Colorado Springs lies its vibrant Downtown, a hub of entertainment, culture, and business. This bustling area offers a perfect blend of urban amenities and small-town charm, making it an attractive destination for both short-term rental investors and visitors seeking an authentic Colorado experience.

Downtown Airbnb Market Data:

• Average Revenue – $29.3K per year
• Average Daily Rate – $148.3 per night
• Average Occupancy Rate – 66%
• Average RevPAR – $99

Convenience - 9/10

Downtown Colorado Springs earns high marks for convenience, with a wide array of shops, restaurants, and services within walking distance. The area's compact layout and pedestrian-friendly streets make it easy to navigate, while its central location provides quick access to other parts of the city via public transportation or car.

Tourist Attractions - 8/10

Downtown boasts an impressive lineup of tourist attractions from the Colorado Springs Fine Arts Center to the Olympic Training Center. Visitors can explore world-class museums, attend live performances at the Pikes Peak Center, or simply admire the stunning architecture of historic buildings like the Pioneers Museum.

Things to Do - 9/10

Whether you're a foodie, an art enthusiast, or an outdoor adventurer, Downtown Colorado Springs has something for everyone. Indulge in the area's thriving culinary scene, with options ranging from cozy cafes to upscale eateries. Take part in the monthly First Friday Art Walk, or catch a concert at one of the many live music venues. For those seeking fresh air, nearby parks and trails offer a quick escape from the urban bustle.

Average Home Prices - 7/10

As of 2024, the median home price in Downtown Colorado Springs stands at $475,000, according to Zillow data. While this figure represents a 5% appreciation rate over the past year, it remains relatively affordable compared to other major cities in the region. The area's strong rental demand and potential for short-term rental income make it an attractive option for investors looking to transform homes into Airbnbs.

Proximity to Work-Related Travel - 9/10

Downtown Colorado Springs is ideally situated for work-related travel, with numerous hotels, convention spaces, and business centers in the immediate vicinity. The Colorado Springs Convention Center, a popular venue for conferences and events, is just a short walk away. This makes it a solid location for corporate rentals. Additionally, the area's proximity to major highways and the Colorado Springs Airport makes it easy for business travelers to get in and out of the city.

X-Factor - 8/10

What sets Downtown Colorado Springs apart is its unique blend of history and innovation. The area seamlessly combines beautifully preserved 19th-century buildings with modern amenities and a vibrant cultural scene. Downtown offers a genuine sense of community and a true taste of the Colorado lifestyle, from the eclectic art galleries to the bustling farmers market.

3. Top Place to Invest in Colorado Springs, Colorado - Venetian Village

Tucked away in the northeast corner of Colorado Springs, Venetian Village is a hidden gem offering a tranquil retreat for residents and visitors. This charming neighborhood boasts a unique architectural style, with homes inspired by Venice, Italy's picturesque canals and bridges, making it a perfect location for themed rentals and Instagrammable homes.

Venetian Village Airbnb Market Data:

• Average Revenue – $25K per year
• Average Daily Rate – $122.8 per night
• Average Occupancy Rate – 72%
• Average RevPAR – $89.6

Convenience - 6/10

While Venetian Village may not be as centrally located as other Colorado Springs neighborhoods, it still offers a fair level of convenience. The area is situated near major highways, providing easy access to the rest of the city. However, public transportation options are limited, and residents may need to rely on personal vehicles for most errands and outings.

Tourist Attractions - 5/10

Venetian Village itself is not known for its tourist attractions, as it is primarily a residential neighborhood. However, the area's proximity to popular destinations like the U.S. Air Force Academy and the stunning natural beauty of the Rocky Mountains makes it an attractive base for visitors looking to explore the region.

Things to Do - 5/10

As a quiet, residential area, Venetian Village may not offer an abundance of activities within its immediate boundaries. However, the neighborhood does feature a few small parks and walking trails, perfect for a leisurely stroll or a picnic with family and friends. For more diverse entertainment options, residents can venture into the heart of Colorado Springs or the nearby town of Monument.

Average Home Prices - 7/10

According to Zillow data, the median home price in Venetian Village sits at $395,000 as of 2024. This represents a modest 2% appreciation rate over the past year, indicating a stable and reliable market. While prices are slightly higher than the Colorado Springs average, the neighborhood's unique charm and potential for short-term rental income make it an intriguing option for investors.

Proximity to Work-Related Travel - 6/10

Venetian Village's location in northeastern Colorado Springs may not be ideal for those who frequently travel for work. The neighborhood is approximately a 20-minute from the Colorado Springs Airport and a 25-minute from the city's central business district. However, the area is relatively close to the U.S. Air Force Academy, which could be a draw for military-related travelers.

X-Factor - 8/10

What sets Venetian Village apart is its distinctive architectural style and laid-back, suburban atmosphere. The neighborhood's winding streets, charming bridges, and Italian-inspired homes create a unique and inviting ambiance that is sure to appeal to visitors seeking a peaceful retreat. The area's proximity to outdoor recreation opportunities, such as hiking and skiing in the nearby mountains, adds to its allure.

4. Top Place to Invest in Colorado Springs, Colorado - Springs Ranch

Nestled in the eastern part of Colorado Springs, Springs Ranch is a master-planned community that offers a perfect blend of residential charm and investment potential. With its proximity to local amenities, stunning mountain views, and a rapidly growing real estate market, this neighborhood is an attractive option for Airbnb and short-term rental investors.

Springs Ranch Airbnb Market Data:

• Average Revenue – $18.3K per year
• Average Daily Rate – $134 per night
• Average Occupancy Rate – 55%
• Average RevPAR – $68

Convenience - 8/10

Springs Ranch boasts a prime location, with easy access to major highways and a variety of shops, restaurants, and services within the community. The neighborhood's well-maintained streets and sidewalks make it easy for residents and visitors to navigate, while its close proximity to downtown Colorado Springs provides a wealth of additional amenities just a short drive away.

Tourist Attractions - 6/10

While Springs Ranch itself may not be a major tourist destination, its location in Colorado Springs puts it within reach of numerous attractions. Visitors can explore the stunning Garden of the Gods, take a scenic drive up Pikes Peak, or visit the U.S. Olympic & Paralympic Museum. However, the neighborhood's primary appeal lies in its residential charm and tranquil atmosphere.

Things to Do - 7/10

Springs Ranch offers a range of recreational activities for residents and visitors alike. The community features several parks, walking trails, and open spaces, perfect for outdoor enthusiasts. The nearby Springs Ranch Golf Course, although currently undergoing redevelopment, has been a popular destination for golfers in the past. As the neighborhood continues to grow, it is likely that new amenities and attractions will emerge.

Average Home Prices - 8/10

As of March 2024, the median home price in Springs Ranch stands at $495,000, according to Zillow data. This represents a 4.2% appreciation rate over the past year, indicating a stable and growing market. While prices are slightly higher than the Colorado Springs average, the neighborhood's desirable location and potential for short-term rental income make it an attractive investment opportunity.

Proximity to Work-Related Travel - 7/10

Springs Ranch's location in eastern Colorado Springs puts it within reasonable distance of several major employers and business centers. The neighborhood is approximately a 20-minute from the Colorado Springs Airport and a 25-minute from the city's central business district. While not as centrally located as some other areas, Springs Ranch still offers a convenient base for work-related travel.

X-Factor - 8/10

What sets Springs Ranch apart is its unique combination of residential charm and investment potential. The neighborhood's well-maintained homes, stunning mountain views, and a strong sense of community create an inviting atmosphere for both residents and visitors. As the community continues to grow and develop, it is likely that its appeal to short-term rental investors will only increase, making it a promising opportunity for those looking to enter the Colorado Springs market.

5. Top Place to Invest in Colorado Springs, Colorado - Old Colorado City

Nestled at the foot of the Rocky Mountains, Old Colorado City is a charming historic district that offers a unique blend of small-town ambiance and modern amenities. This vibrant neighborhood has become an increasingly popular destination for establishing short-term rentals, especially for owners seeking a profitable and rewarding investment opportunity.

Old Colorado City Airbnb Market Data:

• Average Revenue – $27.9K per year
• Average Daily Rate – $144.8 per night
• Average Occupancy Rate – 65%
• Average RevPAR – $97.8

Convenience - 8/10

One of Old Colorado City's greatest strengths is its convenience. The neighborhood boasts a walkable layout, with numerous shops, restaurants, and services located along Colorado Avenue's main thoroughfare. Ample parking options, including on-street and off-street lots, make it easy for visitors to explore the area. The proximity to major highways, such as I-25 and US-24, ensures quick access to other parts of Colorado Springs and beyond.

Tourist Attractions - 7/10

While Old Colorado City itself may not have major tourist attractions, its historic charm and unique character draw visitors from far and wide. The district's well-preserved Victorian architecture, colorful murals, and eclectic mix of boutiques and galleries create a delightful atmosphere for tourists to explore. Nearby attractions, such as the stunning Garden of the Gods park and the iconic Pikes Peak, provide additional draw for visitors staying in the area.

Things to Do - 8/10

Old Colorado City offers a wide range of activities and events that cater to diverse interests. The neighborhood hosts popular annual festivals, such as Territory Days and the Giant Pumpkin Festival, which attract thousands of visitors. Regular events like the weekly farmers market and monthly art walks add to the community's vibrant spirit. Foodies will appreciate the diverse dining scene, with options ranging from casual cafes to upscale restaurants. The abundance of locally-owned shops and galleries provides ample opportunities for unique shopping experiences.

Average Home Prices - 7/10

According to Zillow data, the typical home value in Old Colorado City stood at $397,080 as of March 2024. This represents a slight depreciation of 0.3% over the past year, indicating a relatively stable market. The median listing home price in the neighborhood is $473,202, with an average home size of 1,775 square feet. While prices are higher than some other areas of Colorado Springs, the potential for strong rental income and the neighborhood's enduring appeal make it an attractive option for investors.

Proximity to Work-Related Travel - 6/10

Old Colorado City's location on the west side of Colorado Springs may not be ideal for those frequently traveling for work. The neighborhood is approximately a 15-minute from the city's central business district and a 20-minute from the Colorado Springs Airport. However, its proximity to US-24 provides relatively easy access to major employers like the Garden of the Gods Hospital and the Penrose-St. Francis Health Services campus.

X-Factor - 9/10

What sets Old Colorado City apart is its unparalleled charm and strong sense of community. The neighborhood's historic character and thriving small business scene create a unique and inviting atmosphere that appeals to both residents and visitors. The active local community and numerous events foster a strong sense of belonging, making Old Colorado City feel like a true home away from home for Airbnb and STR guests. The neighborhood's proximity to outdoor recreation, such as hiking and cycling trails, adds to its allure for those seeking an authentic Colorado experience.