Buying a Home in Colorado: What You Need to Know
If you're considering buying a home in Colorado, understanding the true cost of homeownership is essential. Beyond your mortgage payment, Colorado homeowners face property taxes, insurance costs, and closing fees that vary significantly from the national average. This calculator uses Colorado-specific data to give you accurate monthly payment estimates.
Colorado Property Taxes
Colorado has an effective property tax rate of 0.5%, ranking #41 out of 50 states (where #1 is the highest). On a median-priced home of $582,000, you'd pay approximately $2,910 per year in property taxes, or about $243/month.
Colorado is among the states with the lowest property taxes in the nation. This can make homeownership more affordable here compared to high-tax states, though you should verify rates in your specific county.
Colorado Homeowners Insurance
The average annual homeowners insurance premium in Colorado is $3,412 for $300,000 in dwelling coverage, or about $284/month.
Colorado's insurance costs are moderate compared to national averages. You may be able to lower your premium by increasing your deductible, bundling with auto insurance, or installing security systems.
Colorado Closing Costs
Closing costs in Colorado average 0.59% of the home's purchase price. On a $582,000 home, that's approximately $3,434. Closing costs typically include:
- Loan origination fees
- Appraisal and inspection fees
- Title insurance and search
- Recording fees
- Prepaid property taxes and insurance
Colorado Housing Market
The median home price in Colorado is $582,000. This is significantly above the national median of approximately $410,000, making Colorado one of the more expensive states for homebuyers. However, strong job markets and quality of life often justify the premium.
More Colorado Mortgage Tools
Use these additional calculators to plan your Colorado home purchase: