Housing report for Colorado Springs, CO

Colorado Springs Affordable Housing Report:
Q1 2023

Last updated on Apr 1, 2023

Housing overview of Colorado Springs, CO

735,480

population in Colorado Springs, CO

372,736

workers in Colorado Springs, CO

327,541

housing units needed

Colorado Springs's burgeoning population and dynamic economy have created a significant demand for workforce housing. In this market report, we analyze the current state of the city's housing market, emphasizing the growing need for affordable and immediate housing.

Colorado Springs has a housing gap of 37,733 units; new construction is a drop in the bucket

Population:Across metro Colorado Springs the population has risen to 735,480.
Workforce:Colorado Springs's workforce has grown to 372,736, indicating strong economic growth and increasing demand for housing.
Housing Unit Demand:To accommodate the population and workforce, Colorado Springs requires 327,541 housing units.
Current Housing Stock:The metro area currently offers 289,808 housing units, resulting in a deficit of 37,733 homes.

Colorado Springs workers would need to earn an extra 40.49% to afford the median rental

Median Rental Price:The median rent for an apartment in Colorado Springs is $1,605, highlighting increasing rental prices.
Income Needed to Afford a Rental:A tenant needs to make at least $57,780 and pay $3,210 upfront to move-in (first month’s rent and security deposit). Typically, to qualify for a home, a landlord requires 3x rent in income, in addition to credit score minimums and eviction screening. Finally, most apartments charge an application fee.
Median Income in Colorado Springs:The city's median income is $34,386, demonstrating a significant affordability gap.
Affordability Gap:The affordability gap in Colorado Springs stands at $23,394. This means that workers need to earn 40.49% more to qualify and afford the median rental in the greater Colorado Springs area.

Expanding affordable workforce housing in Colorado Springs

So how do we house the growing population of healthcare workers, drivers, technicians, and care workers that make up Colorado Springs’s workforce?

Solution 1: Build more housing

Despite the evident need for housing, only 375 permits have been issued so far in 2023, indicating a slow response from the market to address this demand. This shortage has led to increased rental prices

Solution 2: Relocate workers farther outside of the city

We believe workers in our community deserve to live in our community. While some may desire to relocate further their place of work, this is not a viable solution for all workers.

Solution 3: Do more with existing housing

We can do more with our existing housing to meet the needs of the metro-area population. There are exciting developments to address housing shortages and affordability challenges by increasing housing density. Some examples include converting single-family into multi-family homes, commercial to residential conversions, housing ADUs, co-living, and shared housing. At PadSplit, we are growing the country’s leading shared housing marketplace.

Sources: Census, Bureau of Labor & Statistics, ApartmentList, PadSplit

Shared Housing is a fast, cost-effective way to scale affordable housing for the workforce

PadSplit was founded five years ago and has grown to become the country’s largest shared housing marketplace. Real estate investors, homeowners, and community partners work with PadSplit to provide affordable, dignified housing to workers.

To learn more, check out the following:

Hosting on PadSplit PadSplit impact report Rooms for rent in Colorado Springs