ADU guide · Rent

How much rent can an ADU earn in Denver?

Updated October 2026

As a reference point, Apartment List's rent report released at the end of October 2026 puts Denver's median rent at $1,414 for a one-bedroom and $1,761 for a two-bedroom, with the citywide median down 2.4% from a year earlier. An ADU's actual rent depends on its size, location, finish and privacy.

What are Denver rents doing right now?

Softening slightly. The same report shows Denver's overall median at $1,598, down 0.7% month over month and 2.4% year over year, while the Denver metro median stood at $1,632. Englewood was the most affordable city in the metro list at $1,405. These are apartment medians, not ADU-specific figures.

What sets an ADU's rent?

  • Bedrooms and size. A one-bedroom ADU competes with one-bedroom apartments.
  • Privacy. A detached unit with its own yard space usually rents better than a shared-entry basement.
  • Location. Walkable neighborhoods near transit command more.
  • Laundry, parking and storage. Small extras that tenants compare.

Can I use the ADU as an Airbnb?

It depends on licensing. Denver says short-term rentals, including ADUs, are highly regulated and require licenses, and Colorado lets cities require owner occupancy for a short-term rental license. Plan the numbers around long-term rent unless you have confirmed a short-term license is possible for your address.

Does rent cover the cost?

Compare the full project cost from your written, itemized quote with realistic rent, vacancy, insurance, taxes and upkeep. One published 2026 estimate puts annual maintenance, insurance and property tax at about 2% to 3% of an ADU's value. We give you the cost side; a lender or tax adviser can help with the rest.

Sources, as of October 2026:

  • Apartment List, Denver rent report released at the end of October 2026, for median rents and trends.
  • City and County of Denver, Permitting an Accessory Dwelling Unit, for the short-term rental note.
  • Block Renovation, “A Deep Dive Into ADU Construction Costs” (2026), for the ongoing-cost estimate.

Updated October 2026. General information, not legal advice.

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