Rent, mortgages in Denver deemed ‘unaffordable’

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DENVER -- Buying a home or renting in Denver has gotten so expensive, it's being termed "unaffordable" to live in by real estate company Zillow.

Denver joins four California markets -- Los Angeles, San Francisco, San Jose and San Diego -- that fall under the "unaffordable" category for renters and buyers after second-quarter analysis by Zillow.

Zillow estimated it takes 35 percent of a person's monthly income to afford rent in Denver; the national average is 24.4 percent. It takes 21 percent of monthly income to pay a mortgage in Denver, above the national average of 15.1 percent.

“Our research found that unaffordable rents are making it hard for people to save for a down payment and retirement, and that people whose rent is unaffordable are more likely to skip out on their own health care,” Zillow chief economist Svenja Gudell said in a statement.

Denver rental rates expanded by 14 percent in the second quarter this year.