The higher the cap rate, the more risk involved in the building. 

Then there can be cap ex allocation for a certain hold period.  

Your ability to turn around a property with an 11% cap rate is a pretty strong selling point.

My question would be is a 6 cap the going rate in the area for that building.

Clear Creek County and Gilpin County have caps and are past those caps, as is Summit County.

We are planning to hold it for 5 years and bought a rate cap to cover the entire hold period. 

Conventional loans will require 12 months seasoning for cash out and are usually capped at 75% LTV 2.

Class A properties will generally have high valuations and lower market Cap Rates.Class B Property:A step down from Class A, Class B properties are in the 10 to 20 year-old range, and are mostly well maintained.

Most nearby cities are the same.Even in the Denver-adjacent cities that do allow non-owner occupied STRs, they vary widely -- some have caps on STRs, some cap the nights rentable as an STR, some cap the number of vacation rentals one owner can have, etc. etc.This is all to say, first know where you can do Airbnb, then start running numbers.

Also pet rent is now capped at $25/month.Thank you for the update, I believe the security deposit for leases signed after October 1, 2024 is maxed at one month (including any pet deposits which must be refundable).