Denver’s historic neighborhoods are great places to buy a luxurious home. Not only are the homes beautiful and well positioned, in some instances it may be possible to receive Colorado State Rehabilitation and Federal Tax Credits too. It all starts with determining whether or not the Mile High City home you’re interested in is considered historically eligible. If it is eligible, you may be able to claim certain types of restoration, preservation or rehabilitation related costs as deductions.
As it stands now, the state credit alone is worth $50,000 and may be combined with the federal credits. Combined, the federal credits may save eligible homeowners another 20% in property improvement costs and that’s not all. Oftentimes, homeowners who choose to buy in Denver’s historic neighborhoods are eligible for State Historical Fund Grants and other financial resources based on the importance of their properties. The funds are generally earmarked for rehabilitation, preservation or restoration work.
Plus, Denver homeowners may be able to get local, state or national recognition for their properties through historical designation programs. Such designations are generally looked upon favorably by potential buyers. So, they tend to make great investments for buyers looking to resell their properties after five to 10 years. Of course there is an unmistakable air of prestige and legacy associated with such designations as well. Consequently, some Denver residents choose to actively pursue historical designations for their properties based on those two factors alone.
At this point, you may be curious where Denver’s historic neighborhoods are located. Not surprisingly, there are many to choose from. The list of historic areas includes, but certainly isn’t confined to places like Bonnie Brae, Capitol Hill, LoDo, Denver Country Club, Washington Park, Observatory Park and Cherry Creek. To learn more about them and find a Denver home with a great history, please contact us at Metro Denver Luxury Homes.