Affordable Homes in Denver: Where the Cheap Homes Are, What They Cost a Month, and How to Buy One for About $1,000

The short answer

Where are the cheapest homes in Denver?

Denver's affordable homes sit in a ring of 1970s to 1990s condo and townhome complexes, not downtown. The ZIP codes below hold the most homes under $400,000 this week; each name links to that ZIP's own listing page.

• 80247, Lowry and Windsor: the biggest pocket. Two-bedroom condos from $180,000 to $320,000 in Windsor Gardens (a 55-plus community with the lowest prices in the city), plus Lowry townhomes in the $300,000s. HOA dues run $400 to $700 and include heat in many buildings.
• 80231, Hampden and Indian Creek: one- and two-bedroom condos along Hampden and Parker Road, $190,000 to $330,000, close to Cherry Creek State Park and the light rail at Nine Mile.
• 80219, Westwood and Barnum: the one Denver ZIP where a detached house under $400,000 is normal: 1940s and 1950s brick ranches of 800 to 1,100 square feet, $330,000 to $400,000, no HOA.
• 80220, Hale and Montclair: walk-up condos near Rose Medical Center and 9th and Colorado, $200,000 to $350,000, older buildings with low dues.
• 80237, Hampden South: condos near the Denver Tech Center and Southmoor light rail, $220,000 to $360,000.
• 80203, Capitol Hill: studios and one-bedrooms in 1960s high-rises and 1900s converted mansions, $180,000 to $320,000. Parking is the question to ask first.
• 80249, Green Valley Ranch: townhomes and the newest small houses under $400,000 in the city, 2000s construction, near the A Line to the airport.
• 80239, Montbello: 1970s split-levels and ranches of 1,000 to 1,400 square feet, $340,000 to $400,000, the cheapest three-bedroom houses in Denver.

What does $250,000, $300,000 and $400,000 buy in Denver?

What does an affordable Denver home cost a month?

The price is only half of the payment on a Denver condo. The HOA is the other half, and it is the line that changes most from building to building. Three real-world examples at 7 percent, FHA, 3.5 percent down:

A $400,000 house with a $250 metro-district or HOA line costs about the same per month as a $300,000 condo with $437 dues plus the bigger loan. That is why the Westwood ranch and the Lowry condo end up on the same shortlist. Run your own numbers on can I afford a home now.

Which programs cut the cash, and what is the catch?

How many bedrooms do cheap Denver homes have?

Two bedrooms is the Denver affordable home. Three bedrooms under $400,000 means Montbello, Westwood, Barnum or a Green Valley Ranch townhome, and there are about 221 of them this week; four bedrooms is a fixer or a split-level in Montbello. The bedroom-count pages: 1-bedroom, 2-bedroom, 3-bedroom, 4-bedroom Denver homes.

What to check before you buy a cheap Denver condo

• The HOA budget and reserves. Ask for the last two years of financials and the reserve study. A reserve under 10 percent of the annual budget means a special assessment is coming.
• Special assessments already voted. Roofs, boilers, balconies and parking structures in 1970s buildings run $5,000 to $30,000 per unit.
• FHA and VA approval of the building. A condo project not on the FHA approved list cannot take an FHA loan or CHFA assistance; conventional with 3 percent down still works. Our pages for Denver homes that pass FHA and Denver homes that pass VA.
• Insurance after the 2024 to 2026 hail years. Master-policy deductibles in Denver jumped; ask what the unit owner pays when the roof is replaced.
• Rental caps and owner-occupancy. Buildings over 50 percent rented lose FHA approval and resale buyers.
• Parking and heat. Deeded space or first-come; heat in the dues or on your bill. Both move the real monthly cost by $100 or more.
• Metro district taxes on new townhomes. Green Valley Ranch and the newest complexes carry a metro-district mill levy that adds $150 to $300 a month on top of the HOA. Read the guide to Denver HOA rules and fees.

The 60-day plan to buy an affordable home in Denver

1. Day 1: call or text 303-955-4220. We set up the under-$400,000 search with the HOA shown on every tile and send the lender introduction the same day.
2. Days 1 to 7: pre-approval with the CHFA or metroDPA option priced side by side with plain FHA; the two-hour homebuyer class online. Mortgage pre-approval.
3. Days 7 to 30: tour the pockets above, two or three a day, with the HOA financials pulled before each showing.
4. Days 30 to 35: the offer, written with seller-paid closing costs and the earnest money sized to come back to you.
5. Days 35 to 60: inspection, appraisal, condo questionnaire, clear to close. You bring about $1,000.

Quick answers

Where are the cheapest homes in Denver?

Lowry and Windsor (80247), Hampden and Indian Creek (80231), Westwood and Barnum (80219), Hale and Montclair (80220), Hampden South (80237), Capitol Hill (80203) and Green Valley Ranch (80249). Together they hold about half of Denver's 1,348 homes under $400,000. Every one is listed on affordable homes for sale in Denver.

Is $300,000 enough to buy a home in Denver?

Yes, for a condo. 760 Denver homes are listed under $300,000 this week, nearly all one- and two-bedroom condos of about 950 square feet with an HOA of $300 to $500. A detached house under $300,000 in Denver is a fixer in Westwood, Barnum or Montbello, and there are fewer than 40 at any time.

How much is the monthly payment on a $300,000 Denver condo?

About $2,719 with an FHA loan at 7 percent and 3.5 percent down: $1,926 principal and interest, $437 HOA, $138 taxes, $133 mortgage insurance, $85 insurance. The HOA is the second-largest line; compare it on every tile before you compare prices.

How much cash do I need to buy an affordable home in Denver?

About $1,000 with CHFA assistance: the 3 percent grant covers the FHA down payment, the seller pays closing costs through the offer, and your earnest money comes back at closing. Without assistance, 3.5 percent down plus closing costs on a $300,000 condo is about $16,500. The routes are compared on $1,000 cash to close.

What is the income limit for CHFA in Denver?

$178,920 for the household on the loan, statewide, with a 620 credit score and $1,000 of your own money. metroDPA's limit is $210,150. Denver's income-restricted homes through the Department of Housing Stability use area median income bands (80 to 120 percent). Details and catches: CHFA down payment assistance in Colorado.

Are Denver income-restricted homes a good deal?

They are priced 20 to 40 percent under market and you own the home, with three catches: your household income must fall under the band (50 to 80 percent of area median income for most, 120 percent for some), the resale price is capped by formula, and you must live there. The search is at the city's affordable homeownership page and on coloradohousingsearch.com; a Kenna agent writes the offer like any other.

Is a HUD home cheaper than a regular listing in Denver?

HUD homes sell at HUD's appraised value, as-is, with a $100 down option on an FHA loan and a bidding period that favors owner-occupants. There are 26 in Colorado this week and 3 in Denver, so they are a bonus, not a strategy. Denver HUD homes for sale has the live list and the rules.

Should I rent to own instead?

Only when a loan is impossible today. A lease-option on a $300,000 Denver home takes a $9,000 option fee plus a rent premium, and you own nothing until the end. CHFA puts you on title now for about $1,000 if your score is 620. The side-by-side is on Denver rent-to-own homes.

Keep going

Every Denver home under $400,000, updated daily · Affordable homes across Colorado · Denver homes $100,000 to $400,000 · Denver starter homes · $1,000 cash to close · CHFA assistance · First-time homebuyer programs in Denver · Denver rent-to-own · Denver HUD homes · Denver condos · Denver townhomes · Credit care · All Denver homes. Nearby cities with their own affordable pages: Aurora, Lakewood, Thornton, Englewood, Westminster.