Home equity remains the largest source of wealth for U.S. households, supported by longstanding tax incentives and federal subsidies that reward homeownership. Renters, by contrast, typically experience housing as a monthly expense rather than an appreciating asset. The wealth gap reflects that divide: The median net worth of renters is $10,400, compared with $400,000 for homeowners.
Colorado’s housing market illustrates the urgency of addressing this disparity. Between 2015 and 2022, housing costs rose sharply across the state. By 2022, half of Colorado renters were cost burdened, while housing production lagged far behind demand. Policymakers and civic leaders faced a dual imperative: increase housing supply and address the financial fragility of renters shut out of traditional wealth-building systems.
Following the passage of Proposition 123, the Colorado Tenant Equity Vehicle (TEV) emerged as a unique, taxpayer-supported program to enable renters to earn cash back for rent payments and share in the property’s value as it grows over time. The Colorado TEV shows that affordable housing investments can create more than homes — they can create pathways to prosperity for the 44 million American families who rent.
This case study documents how the Colorado TEV, which launched in January 2026 as Colorado Renter Rewards, was designed, the policy and financing tools that made it possible, and the lessons that can inform similar efforts at the local, state and national levels.
At a time when widening wealth disparities threaten household stability and long-term economic growth, the report offers a practical framework for philanthropy, policymakers and impact investors seeking to expand access to asset ownership and strengthen renter financial security.