Tampa, FL vs Denver, CO: Which Is the Better Investment?
Compare Tampa (cap rate 6.5%) vs Denver (cap rate 5%). Rent, appreciation, vacancy, and market health analysis.
Tampa Price
$380K
Denver Price
$580K
Tampa Cap Rate
6.5%
Denver Cap Rate
5%
Tampa Rent
$2,050/mo
Denver Rent
$2,400/mo
Tampa Growth
1.8%
Denver Growth
1.5%
| Tampa | Metric | Denver |
|---|---|---|
| $380K | Median Price | $580K |
| $2,050/mo | Median Rent | $2,400/mo |
| 6.5% | Cap Rate | 5% |
| 6.1% | Appreciation | 2.8% |
| 4% | Vacancy | 6.1% |
| 392,890 | Population | 715,522 |
| 1.8% | Pop. Growth | 1.5% |
| 6/10 | School Rating | 6/10 |
AI Comparison Verdict
Tampa, FL
Good Investment
RecommendedDenver, CO
Neutral
Tampa ($380K median, 6.5% cap rate) vs Denver ($580K median, 5% cap rate). Tampa offers lower entry costs with 1.8% population growth, while Denver provides higher appreciation with 2.8% appreciation. Tampa scores 63/100, outperforming Denver with stronger cash flow potential.
Summary
Tampa ($380K median, 6.5% cap rate) vs Denver ($580K median, 5% cap rate). Tampa offers lower entry costs with 1.8% population growth, while Denver provides higher appreciation with 2.8% appreciation. Tampa scores 63/100, outperforming Denver with stronger cash flow potential.
Bull Case
- 1
Tampa, FL: Strong population growth of +1.8% annually drives sustained rental demand and reduces vacancy risk, creating favorable conditions for landlords.
- 2
Denver, CO: Strong population growth of +1.5% annually drives sustained rental demand and reduces vacancy risk, creating favorable conditions for landlords.
- 3
Tampa, FL: Above-average cap rate of 6.5% generates strong cash flow from day one, providing a buffer against expense increases and vacancy periods.
- 4
Denver, CO: 2.8% annual appreciation combined with principal paydown creates compelling total returns even with moderate cash flow.
Bear Case
- 1
Tampa, FL: Rising interest rates increase carrying costs — a 1% rate increase on a $304K loan adds ~$253/month to mortgage payments, compressing cash flow.
- 2
Denver, CO: Rising interest rates increase carrying costs — a 1% rate increase on a $464K loan adds ~$387/month to mortgage payments, compressing cash flow.
- 3
Tampa, FL: Extremely tight inventory (1.9 months) may force overpaying, eroding cap rate below the 6.5% market average.
- 4
Denver, CO: Increasing new construction permits could add supply, pushing vacancy above the current 6.1% and pressuring rents downward.
Key Risks
- !
Interest rate risk: refinancing in a higher-rate environment could eliminate positive cash flow on leveraged properties, requiring additional capital reserves.
- !
Interest rate risk: refinancing in a higher-rate environment could eliminate positive cash flow on leveraged properties, requiring additional capital reserves.
- !
Above-median crime index (45) in certain neighborhoods may impact tenant quality, insurance costs, and property appreciation trajectory.
- !
Above-median crime index (42) in certain neighborhoods may impact tenant quality, insurance costs, and property appreciation trajectory.
Final Verdict
Tampa, FL edges ahead in our analysis. Tampa scores 63/100, outperforming Denver with stronger cash flow potential. Ultimately, the best choice depends on your investment timeline, risk tolerance, and portfolio allocation.
Compare Alternatives
Analyze Your Own Investment
Run a full AI-powered comparison of Tampa, FL vs Denver, CO with detailed Decision Scores and personalized recommendations.
Try LargeKite AI — Compare NowGet Weekly AI Investment Insights
Decision Scores, market analysis, and opportunities — delivered every Monday.
Free forever. No spam. Unsubscribe anytime.