Market Intelligence

Cap Rate Map

Estimated cap rates across 30 US metro markets. Find the markets that match your investment strategy — from high-yield cash flow to appreciation plays.

Markets

5.6%

Avg Cap Rate

Markets 6%+

#	Market	Median Price	Median Rent	Gross Yield	Est. Cap Rate	Market Score
1	DetroitMI(3.5M)	$95,000	$1,100	13.9%	7.6%	48
2	MemphisTN(1.3M)	$195,000	$1,350	8.3%	7.4%	58
3	ClevelandOH(2.1M)	$175,000	$1,250	8.6%	7.3%	52
4	JacksonMS(580K)	$145,000	$1,050	8.7%	7.1%	42
5	BirminghamAL(1.1M)	$195,000	$1,300	8.0%	7.0%	55
6	Kansas CityMO(2.2M)	$235,000	$1,450	7.4%	6.9%	71
7	IndianapolisIN(2.1M)	$245,000	$1,550	7.6%	6.8%	74
8	ColumbusOH(2.1M)	$265,000	$1,500	6.8%	6.7%	72
9	PittsburghPA(2.4M)	$210,000	$1,250	7.1%	6.5%	56
10	St. LouisMO(2.8M)	$215,000	$1,300	7.3%	6.4%	54
11	Oklahoma CityOK(1.4M)	$215,000	$1,250	7.0%	6.3%	62
12	San AntonioTX(2.6M)	$275,000	$1,550	6.8%	6.2%	65
13	HoustonTX(7.2M)	$310,000	$1,700	6.6%	6.1%	69
14	Dallas-Fort WorthTX(8.1M)	$385,000	$2,150	6.7%	5.8%	82
15	CharlotteNC(2.7M)	$365,000	$1,850	6.1%	5.7%	78
16	AtlantaGA(6.2M)	$375,000	$1,900	6.1%	5.6%	76
17	TampaFL(3.3M)	$365,000	$2,000	6.6%	5.5%	52
18	PhoenixAZ(5.0M)	$420,000	$1,850	5.3%	5.3%	68
19	NashvilleTN(2.0M)	$430,000	$2,000	5.6%	5.1%	73
20	RaleighNC(1.5M)	$420,000	$1,900	5.4%	5.0%	80
21	OrlandoFL(2.7M)	$385,000	$1,800	5.6%	4.9%	54
22	DenverCO(3.0M)	$540,000	$2,100	4.7%	4.7%	66
23	AustinTX(2.5M)	$475,000	$2,050	5.2%	4.6%	65
24	PortlandOR(2.5M)	$520,000	$1,950	4.5%	4.5%	57
25	SeattleWA(4.0M)	$750,000	$2,600	4.2%	4.2%	71
26	MiamiFL(6.2M)	$580,000	$2,400	5.0%	4.0%	48
27	BostonMA(4.9M)	$680,000	$2,700	4.8%	3.9%	63
28	Los AngelesCA(13.2M)	$890,000	$2,800	3.8%	3.5%	45
29	New YorkNY(20.1M)	$620,000	$2,300	4.5%	3.3%	50
30	San FranciscoCA(4.8M)	$1,200,000	$3,200	3.2%	2.9%	42

Cap rates estimated using 45% expense ratio (taxes, insurance, vacancy, maintenance, management). Actual cap rates vary by property condition, location within metro, and management efficiency. Data sources: Zillow ZORI, Redfin, Census ACS, BLS. Updated monthly.

Cap Rate Calculator

Annual NOI

Gross rent - operating expenses (no mortgage)

Property Value / Price

Cap Rate

6.00%

Balanced market

Understanding Cap Rates

Cap rate = NOI / Property Value. It measures the annual return on a property as if purchased with all cash (no mortgage).

General Guidelines

Residential (cash flow)5-7%

Commercial / multifamily7-10%

Class A / gateway cities3-5%

Cap Rate vs. Appreciation

Cap rates and appreciation tend to have an inverse relationship. Markets with low cap rates (San Francisco, NYC) often have higher appreciation potential. Markets with high cap rates (Memphis, Cleveland) deliver better immediate cash flow but may appreciate more slowly.

Risk Premium

Higher cap rates can also signal higher perceived risk — declining population, weaker job markets, or higher vacancy rates. Always evaluate the underlying fundamentals, not just the yield.

Markets by Strategy

Cash Flow Markets (6%+ cap rate)

Detroit, Memphis, Cleveland, Jackson, Birmingham, Kansas City, Indianapolis, Columbus

Balanced Markets (4-6% cap rate)

Dallas-Fort Worth, Charlotte, Atlanta, Tampa, Phoenix, Nashville, Raleigh, Orlando

Appreciation Markets (<4% cap rate)

Boston, Los Angeles, New York, San Francisco

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