Forbes' New Take on the Colorado Housing Market

April 13 2010, 12:14 PM

Over the course of the last year, Denver has received one clear message about the housing market: It might be rough, but it's looked a lot better than throughout the rest of the nation. In May 2009, Denver basked in the spotlight on NBC's Today show after being named America's number one city on the verge of recovery. And Forbes agreed, naming the Mile High City the best in which to buy a home. Now Forbes is backpedaling and has dubbed Denver the second-worst housing market in the nation (via the Denver Business Journal). "Denver doesn't come to mind as a housing-crisis hot spot, but the city that once looked like it would escape the housing bust unscathed now shows signs of strain," Forbes writes. "More than 42,000 homes are on the market in the metro, 27 percent more than last year." It doesn't help that the Colorado Division of Housing has announced there are about half as many affordable places to rent as are needed (via 9News). The state has also found that nearly 24 percent of people in Colorado spend more than 50 percent of their income on rent---far too much for their own good, particularly in a bad economy. One former Colorado homeowner, Jayme Reid (a fictitious name), was by her account living the American dream. Now she and her family fight for space in a 26-foot trailer, she writes, in an essay for Salon.