Cities That Pass the 1% Rule
The 1% rule states that monthly rent should be at least 1% of the purchase price. These cities meet that threshold, suggesting strong cash flow potential.
What is the 1% Rule? If a property costs $100,000, it should rent for at least $1,000/month. Properties meeting this rule typically generate positive cash flow even with conservative expense assumptions.
| # | City | Cap Rate | Cash Flow | Home Price | Rent (3BR) | Verdict |
|---|---|---|---|---|---|---|
| 1 | East Saint Louis, IL | 35.7% | +$916/mo | $37,755 | $1,400/mo | 🟢 STRONG |
| 2 | Whitesville, WV | 17.0% | +$558/mo | $63,278 | $1,200/mo | 🟢 STRONG |
| 3 | Prichard, AL | 16.8% | +$549/mo | $63,261 | $1,190/mo | 🟢 STRONG |
| 4 | Hollister, NC | 15.7% | +$686/mo | $88,057 | $1,560/mo | 🟢 STRONG |
| 5 | Maricopa, CA | 15.4% | +$1,371/mo | $182,261 | $3,170/mo | 🟢 STRONG |
| 6 | Detroit, MI | 14.4% | +$604/mo | $89,148 | $1,400/mo | 🟢 STRONG |
| 7 | Johnstown, PA | 14.3% | +$398/mo | $75,908 | $1,110/mo | 🟢 STRONG |
| 8 | Dry Creek, WV | 14.1% | +$504/mo | $84,557 | $1,310/mo | 🟢 STRONG |
| 9 | Ajo, AZ | 13.7% | +$835/mo | $137,703 | $2,150/mo | 🟢 STRONG |
| 10 | Gary, IN | 13.6% | +$523/mo | $91,197 | $1,390/mo | 🟢 STRONG |
| 11 | Flint, MI | 13.3% | +$490/mo | $85,491 | $1,270/mo | 🟢 STRONG |
| 12 | Goodman, MS | 12.9% | +$438/mo | $80,972 | $1,200/mo | 🟢 STRONG |
| 13 | Montgomery, WV | 12.4% | +$393/mo | $78,012 | $1,170/mo | 🟢 STRONG |
| 14 | Danville, WV | 12.4% | +$413/mo | $82,321 | $1,380/mo | 🟢 STRONG |
| 15 | Seth, WV | 12.3% | +$417/mo | $84,147 | $1,200/mo | 🟢 STRONG |
| 16 | Bloomingrose, WV | 12.2% | +$432/mo | $89,253 | $1,260/mo | 🟢 STRONG |
| 17 | Kewanee, IL | 12.2% | +$386/mo | $80,273 | $1,130/mo | 🟢 STRONG |
| 18 | Kinston, NC | 11.8% | +$452/mo | $99,700 | $1,370/mo | 🟢 STRONG |
| 19 | Camden, NJ | 11.8% | +$578/mo | $131,616 | $1,905/mo | 🟢 STRONG |
| 20 | Cotton County, OK | 11.7% | +$289/mo | $90,899 | $1,100/mo | 🟢 STRONG |
| 21 | Carlisle, SC | 11.6% | +$445/mo | $101,856 | $1,380/mo | 🟢 STRONG |
| 22 | Dillonvale, OH | 11.4% | +$363/mo | $87,297 | $1,160/mo | 🟢 STRONG |
| 23 | Ranger, WV | 11.4% | +$327/mo | $78,017 | $1,040/mo | 🟢 STRONG |
| 24 | Winifrede, WV | 11.0% | +$346/mo | $89,867 | $1,160/mo | 🟢 STRONG |
| 25 | Thebes, IL | 10.9% | +$314/mo | $106,090 | $1,255/mo | 🟢 STRONG |
| 26 | Fayette County, WV | 10.9% | +$324/mo | $92,422 | $1,155/mo | 🟢 STRONG |
| 27 | Decatur, IL | 10.8% | +$370/mo | $99,674 | $1,320/mo | 🟢 STRONG |
| 28 | Bergholz, OH | 10.8% | +$334/mo | $91,541 | $1,160/mo | 🟢 STRONG |
| 29 | Boron, CA | 10.8% | +$615/mo | $169,161 | $2,140/mo | 🟢 STRONG |
| 30 | Cement, OK | 10.8% | +$338/mo | $92,165 | $1,170/mo | 🟢 STRONG |
| 31 | Alexandria, LA | 10.7% | +$378/mo | $104,526 | $1,320/mo | 🟢 STRONG |
| 32 | Stewart County, GA | 10.5% | +$300/mo | $88,085 | $1,090/mo | 🟢 STRONG |
| 33 | Bessemer, AL | 10.5% | -$48/mo | $173,245 | $1,365/mo | 🟢 STRONG |
| 34 | Youngstown, OH | 10.5% | +$312/mo | $91,257 | $1,130/mo | 🟢 STRONG |
| 35 | Manchester, GA | 10.3% | +$391/mo | $120,882 | $1,470/mo | 🟢 STRONG |
| 36 | Alton, IL | 10.2% | +$380/mo | $120,023 | $1,450/mo | 🟢 STRONG |
| 37 | Fort Mc Coy, FL | 10.2% | +$487/mo | $154,023 | $1,860/mo | 🟢 STRONG |
| 38 | Deerfield Beach, FL | 10.2% | +$483/mo | $290,202 | $2,975/mo | 🟢 STRONG |
| 39 | Chapmanville, WV | 10.0% | +$279/mo | $91,294 | $1,090/mo | 🟢 STRONG |
| 40 | Trotwood, OH | 9.9% | +$248/mo | $133,486 | $1,400/mo | 🟢 STRONG |
| 41 | Bunkie, LA | 9.9% | +$307/mo | $104,033 | $1,230/mo | 🟢 STRONG |
| 42 | Tamarac, FL | 9.9% | +$653/mo | $248,018 | $2,835/mo | 🟢 STRONG |
| 43 | De Soto, IL | 9.9% | +$342/mo | $117,214 | $1,380/mo | 🟢 STRONG |
| 44 | Pine Bluff, AR | 9.9% | +$298/mo | $100,577 | $1,180/mo | 🟢 STRONG |
| 45 | Cut Off, LA | 9.8% | +$335/mo | $124,169 | $1,430/mo | 🟢 STRONG |
| 46 | Coalinga, CA | 9.8% | +$826/mo | $293,595 | $3,420/mo | 🟢 STRONG |
| 47 | Branchland, WV | 9.8% | +$257/mo | $89,593 | $1,050/mo | 🟢 STRONG |
| 48 | Bradley, WV | 9.8% | +$369/mo | $127,755 | $1,500/mo | 🟢 STRONG |
| 49 | Toledo, OH | 9.7% | +$272/mo | $115,657 | $1,260/mo | 🟢 STRONG |
| 50 | Seligman, AZ | 9.7% | +$423/mo | $153,779 | $1,780/mo | 🟢 STRONG |
| 51 | New Straitsville, OH | 9.7% | +$257/mo | $93,318 | $1,080/mo | 🟢 STRONG |
| 52 | McKeesport, PA | 9.7% | +$326/mo | $118,329 | $1,280/mo | 🟢 STRONG |
| 53 | Wheeling, OH | 9.7% | +$298/mo | $107,881 | $1,250/mo | 🟢 STRONG |
| 54 | Rankin, IL | 9.7% | +$288/mo | $104,517 | $1,210/mo | 🟢 STRONG |
| 55 | Port Arthur, TX | 9.7% | +$353/mo | $128,313 | $1,485/mo | 🟢 STRONG |
| 56 | Gallitzin, PA | 9.5% | +$277/mo | $106,070 | $1,210/mo | 🟢 STRONG |
| 57 | Dayton, OH | 9.4% | +$264/mo | $106,218 | $1,225/mo | 🟢 STRONG |
| 58 | Hamlin, WV | 9.4% | +$265/mo | $106,671 | $1,200/mo | 🟢 STRONG |
| 59 | Morgan City, LA | 9.4% | +$316/mo | $124,696 | $1,410/mo | 🟢 STRONG |
| 60 | Redford, MI | 9.3% | +$395/mo | $165,886 | $1,845/mo | 🟢 STRONG |
| 61 | Lamesa, TX | 9.3% | +$278/mo | $114,565 | $1,280/mo | 🟢 STRONG |
| 62 | Post, TX | 9.3% | +$278/mo | $115,762 | $1,290/mo | 🟢 STRONG |
| 63 | Danville, IL | 9.3% | +$198/mo | $125,741 | $1,240/mo | 🟢 STRONG |
| 64 | Lexington, MS | 9.3% | +$285/mo | $117,071 | $1,310/mo | 🟢 STRONG |
| 65 | Memphis, TN | 9.2% | +$371/mo | $154,593 | $1,600/mo | 🟢 STRONG |
| 66 | New Cuyama, CA | 9.2% | +$675/mo | $285,632 | $3,170/mo | 🟢 STRONG |
| 67 | Dover, NC | 9.1% | +$318/mo | $139,027 | $1,530/mo | 🟢 STRONG |
| 68 | Sunrise, FL | 9.1% | +$608/mo | $315,478 | $3,335/mo | 🟢 STRONG |
| 69 | Henryetta, OK | 9.0% | +$234/mo | $109,409 | $1,185/mo | 🟢 STRONG |
| 70 | Rowlesburg, WV | 9.0% | +$235/mo | $107,542 | $1,170/mo | 🟢 STRONG |
| 71 | Middletown, CA | 9.0% | +$711/mo | $320,303 | $3,500/mo | 🟢 STRONG |
| 72 | Olanta, SC | 9.0% | +$273/mo | $127,378 | $1,380/mo | 🟢 STRONG |
| 73 | Perryopolis, PA | 9.0% | +$63/mo | $131,140 | $1,155/mo | 🟢 STRONG |
| 74 | Pollocksville, NC | 8.9% | +$258/mo | $122,312 | $1,320/mo | 🟢 STRONG |
| 75 | Delcambre, LA | 8.9% | +$212/mo | $99,995 | $1,080/mo | 🟢 STRONG |
| 76 | Pinewood, SC | 8.9% | +$261/mo | $125,583 | $1,350/mo | 🟢 STRONG |
| 77 | Julian, WV | 8.9% | +$235/mo | $111,114 | $1,200/mo | 🟢 STRONG |
| 78 | Elmira, NY | 8.9% | +$255/mo | $133,459 | $1,470/mo | 🟢 STRONG |
| 79 | Lake Peekskill, NY | 8.8% | +$829/mo | $418,397 | $4,450/mo | 🟢 STRONG |
| 80 | Albany, GA | 8.8% | +$261/mo | $127,281 | $1,255/mo | 🟢 STRONG |
| 81 | North Little Rock, AR | 8.8% | +$275/mo | $139,897 | $1,475/mo | 🟢 STRONG |
| 82 | Canton, IL | 8.8% | +$216/mo | $107,875 | $1,150/mo | 🟢 STRONG |
| 83 | Akron, OH | 8.8% | +$236/mo | $119,585 | $1,190/mo | 🟢 STRONG |
| 84 | Lake Village, IN | 8.7% | -$141/mo | $204,166 | $1,505/mo | 🟢 STRONG |
| 85 | Rayland, OH | 8.6% | +$201/mo | $111,957 | $1,165/mo | 🟢 STRONG |
| 86 | Poinsett County, AR | 8.6% | +$229/mo | $125,435 | $1,230/mo | 🟢 STRONG |
| 87 | Port Norris, NJ | 8.6% | +$375/mo | $216,825 | $2,240/mo | 🟢 STRONG |
| 88 | Coeburn, VA | 8.6% | +$217/mo | $118,132 | $1,235/mo | 🟢 STRONG |
| 89 | Farmington, IL | 8.5% | +$213/mo | $121,675 | $1,260/mo | 🟢 STRONG |
| 90 | Ives Estates, FL | 8.5% | +$493/mo | $277,221 | $2,880/mo | 🟢 STRONG |
| 91 | Keyesport, IL | 8.5% | +$198/mo | $112,957 | $1,170/mo | 🟢 STRONG |
| 92 | Birmingham, AL | 8.4% | +$199/mo | $136,372 | $1,400/mo | 🟢 STRONG |
| 93 | Vandergrift, PA | 8.4% | +$182/mo | $109,274 | $1,120/mo | 🟢 STRONG |
| 94 | Poca, WV | 8.4% | +$304/mo | $181,243 | $1,860/mo | 🟢 STRONG |
| 95 | Monetta, SC | 8.4% | +$209/mo | $127,143 | $1,300/mo | 🟢 STRONG |
| 96 | Garrison, KY | 8.4% | +$185/mo | $111,310 | $1,140/mo | 🟢 STRONG |
| 97 | Saint Louis, MO | 8.4% | +$230/mo | $145,685 | $1,525/mo | 🟢 STRONG |
| 98 | Augusta, SC | 8.3% | +$178/mo | $124,968 | $1,245/mo | 🟢 STRONG |
| 99 | Jackson, MS | 8.3% | +$175/mo | $134,569 | $1,300/mo | 🟢 STRONG |
| 100 | Coconut Creek, FL | 8.3% | +$124/mo | $360,574 | $3,115/mo | 🟢 STRONG |
| 101 | Weldon, IL | 8.3% | +$224/mo | $140,698 | $1,430/mo | 🟢 STRONG |
| 102 | Weirton, OH | 8.3% | +$183/mo | $120,722 | $1,215/mo | 🟢 STRONG |
| 103 | New Iberia, LA | 8.3% | +$181/mo | $115,438 | $1,170/mo | 🟢 STRONG |
| 104 | Elizabeth, WV | 8.2% | +$179/mo | $120,667 | $1,210/mo | 🟢 STRONG |
| 105 | Galva, IL | 8.2% | +$172/mo | $111,995 | $1,130/mo | 🟢 STRONG |
| 106 | Lubbock, TX | 8.2% | +$235/mo | $153,772 | $1,550/mo | 🟢 STRONG |
| 107 | Pontiac, MI | 8.1% | +$205/mo | $141,215 | $1,400/mo | 🟢 STRONG |
| 108 | Mart, TX | 8.1% | +$223/mo | $153,056 | $1,530/mo | 🟢 STRONG |