1st Advantage MortgageFor Durango, CO rentals, the DSCR test compares rent to the full payment. The Census medians that frame it are $1,636 rent, $668,400 value and $1,443 in yearly taxes.
Market snapshot for Durango
Citywide, Durango renters pay a median $1,636 in gross rent (rent plus utilities), close to the Colorado median of $1,761, and owner-occupied homes have a median value of $668,400, about 24% above the Colorado median of $539,400. Annual median rent is about 2.9% of the median home value in Durango. That is a thin gross ratio, which tells you purchase prices are high relative to rent, but it blends every housing type, so a house on a specific street needs its own rent comparables.
| Indicator | Colorado | Durango | Difference |
|---|---|---|---|
| Persons per household | 2.42 | 1.99 | |
| Share in 2-4 unit buildings | 4.7% | 11.1% | +138% |
| Long commuters, 45 min plus | 14.1% | 3.3% | -77% |
| Degree holders, age 25+ | 45.7% | 60.4% | +32% |
| Renters paying 30%+ of income | 52.9% | 53.4% | +1% |
| Units sitting vacant | 8.3% | 7.5% | -10% |
| Typical construction year | 1988 | 1989 | |
| Annual rent divided by value | 3.9% | 2.9% | -25% |
| Households that rent | 33.8% | 47.0% | +39% |
| Tax as a share of home value | 0.48% | 0.22% | -55% |
| Annual property tax bill, median | $2,602 | $1,443 | -45% |
| Household income, median | $95,470 | $78,602 | -18% |
| Typical owner-occupied value | $539,400 | $668,400 | +24% |
| Typical monthly rent | $1,761 | $1,636 | -7% |
| Residents (Census estimate) | 5,862,189 | 19,411 |
Tenure in Durango is split fairly evenly: 47.0% renter-occupied and 53% owner-occupied, with the renter share well above the Colorado median of 34%. The median household brings in $78,602 (about 18% below the Colorado median of $95,470), with 53% of renters paying 30 percent or more of income toward rent.
Housing stock and vacancy in Durango
Only 48% of units in Durango are detached houses. The rest is townhomes, duplexes and apartments, with two to four unit buildings at 11% of the total. With 1989 as the median build year, expect aging HVAC and roofs and ask for the dates of the last replacements.
Roughly 7% of units in Durango sit vacant, and the share of rentals available for rent is 4.7% at the survey's snapshot.
What stands out in Durango
Yields near 2.9% make Durango a market for careful buyers. The ratio can still work, usually through a lower loan amount, a rent above the median or a property with several units. Housing here is neither new nor ancient, so condition varies widely from block to block and the inspection tells you more than the median. A 47% renter share is large enough to keep units leased, so location relative to jobs and schools drives rent more than the market as a whole.
Taxes, insurance and hazards in Durango
The Census reports median real estate taxes paid of $1,443 in Durango, well below the Colorado median of $2,602. Against the median value that is an effective rate of roughly 0.22%, compared with 0.48% for Colorado as a whole. Measured against a year of median rent, taxes eat about 7% before any other cost shows up.
Insurance follows risk. FEMA's National Risk Index lists La Plata County as relatively low overall, with avalanches (relatively high), lightning (relatively high) and wildfire (relatively moderate) as the main drivers.
| Hazard in La Plata County, FEMA index | Level |
|---|---|
| Landslides exposure | Relatively Moderate |
| Wildfire exposure | Relatively Moderate |
| Lightning exposure | Relatively High |
| Avalanches exposure | Relatively High |
| Social vulnerability score | Relatively Low |
| Annualized loss estimate | Relatively Low |
| Composite risk | Relatively Low |
Insurance belongs in the ratio from day one, so get a landlord quote for the Durango address and ask about roof age, wind or hail deductibles and flood cover.
Rent math for Durango buyers
At the city medians a DSCR file in Durango has $1,516 a month after taxes to cover principal, interest, insurance and dues if the ratio is 1.00, or $1,189 if the ratio is 1.25. Those two numbers show why insurance quotes and tax estimates come first.
Rental rules for Durango, CO
Rental registration, inspection and nightly-stay rules differ by city, and we have not verified Durango's from a municipal source. A short call to the city and La Plata County before you make an offer is cheap insurance. On lodging taxes, a Durango host should read this first. Colorado requires a sales tax license for an owner who rents rooms or accommodations, with tax generally due on stays under 30 consecutive days, and a marketplace that collects for the owner typically covers state, local and lodging taxes, while county or city lodging filings can be separate.
For a Durango lease, the Colorado deposit rule is 2 months' rent (since Aug 7, 2023), as set out in C.R.S. §§ 38-12-102.5, 38-12-103 (as amended by HB25-1249, eff. Jan 1, 2026). Colorado gives a landlord 30 days after the tenancy ends to return a deposit, an easy deadline to miss without a checklist. On rent control, No; counties and municipalities are prohibited from enacting rent control (C.R.S. 38-12-301).
Durango compared with other Colorado markets
These are not neighboring towns, only other Colorado markets with Census data on this site: Pueblo is lowest at $247,200, Parker highest at $646,300, and Durango sits at $668,400.
| Market | Renter share | Tax bill | Home value | Residents | Rent |
|---|---|---|---|---|---|
| Pueblo | 39% | $1,246 | $247,200 | 111,561 | $1,082 |
| Fort Collins | 48% | $2,875 | $577,900 | 170,229 | $1,690 |
| Parker | 28% | $3,568 | $646,300 | 61,783 | $2,096 |
| Durango | 47% | $1,443 | $668,400 | 19,411 | $1,636 |
Workforce and demand drivers in Durango
About 16.9% of Durango workers are self-employed, the kind of borrowers whose tax returns understate cash flow and who often prefer a loan sized on rent. The same survey shows government workers are about 18% of employment, 60% of adults hold a bachelor's degree or higher and 3% of commuters travel 45 minutes or more.
Employers named in Wikipedia's Durango entry for 2024 include Southern Ute Indian Reservation, City of Durango, Durango School District 9-R, Mercy Medical Center and Purgatory Resort, which is where many tenants earn the income that pays rent. Higher education in and around Durango includes Fort Lewis College and Pueblo Community College, which feeds demand for student, staff and faculty housing near campus. Transportation links include air service through Durango-La Plata County Airport and Dallas/Fort Worth International Airport. Easy highway and air access helps both tenant commutes and remote ownership.
Moving from numbers to a Durango loan
Ready to test a Durango deal? Use the calculator for the ratio, then start your application or send us the scenario.
More Colorado markets
- All Colorado DSCR loans
- DSCR loans in Parker, CO
- DSCR loans in Fort Collins, CO
- DSCR loans in Pueblo, CO
- Every market we cover
Sources and data notes
- American Community Survey tables, Colorado
- FEMA hazard ratings for La Plata County
- Durango on Wikipedia
- Colorado landlord deposit rules, C.R.S. §§ 38-12-102.5, 38-12-103 (as amended by HB25-1249, eff. Jan 1, 2026)
- Colorado tax source: Colorado Department of Revenue, rooms and accommodations
The Durango statistics are five-year ACS estimates (2020 to 2024), which have sampling error. The Colorado legal summaries are from the RedFlagLease dataset, licensed CC BY 4.0, with statute links. Facts were checked in October 2026, and rules change.
DSCR loan availability varies by property and lender program and is not an offer to lend. See our disclosures.
Frequently asked questions
What rent number goes into a Durango, CO DSCR calculation?
On most files the lender uses the lower of the signed lease rent and the appraiser's market rent for the address in Durango. For orientation, the Census median gross rent here is $1,636 a month.
What payment can a Durango rent support?
They count in full. A 1.25 ratio on $1,636 of rent permits a payment near $1,309, and median Durango taxes take about $120 of it each month.
What do Durango owners pay in real estate taxes?
The Census reports a median of $1,443 a year for Durango owners, about 0.22% of median value against 0.48% for Colorado. The county reassesses after a sale, so ask the tax office for an estimate on your purchase price.
Can nightly stays at a Durango property support a DSCR file?
It depends on the program and on local law. A Durango owner needs the right permit or registration, an association that allows nightly stays, and documented bookings.
What are the security deposit rules for a Colorado landlord?
Under C.R.S. §§ 38-12-102.5, 38-12-103 (as amended by HB25-1249, eff. Jan 1, 2026): 2 months' rent (since Aug 7, 2023). The deposit is due back within 30 days of move-out. Check the statute and your lease before collecting.
How exposed is Durango to natural hazards?
The National Risk Index gives the county an overall relatively low rating. Use that as a prompt to get quotes, not as a verdict on one Durango street.
Can I close a Durango DSCR loan in an LLC?
No, but it is common. Entity borrowers supply articles, an operating agreement and an EIN letter, and the owners typically guarantee the loan. A Colorado attorney can advise on structure.