Memphis, TN — Rental Investment Analysis

🟢STRONGexcellent cash flow market

Cap Rate

8.2%

Above average

Monthly Cash Flow

+$380

After all expenses

Price-to-Rent

8.3

Investor-friendly

DSCR

1.42

Passes lender test

📊 Key Metrics

Median Home Price
$135,000
Average Rent (3BR)
$1,350/mo
Price-to-Rent Ratio
8.3(good)
1% Rule
1.00%(passes)
Cash-on-Cash Return
10.5%
Vacancy Rate
9.0%

📈 Market Strength

Job Growth
+1.5% YoY
Population Growth
+0.2% YoY
Home Price Appreciation (5yr)
+32%

Assumptions Used

20% down, 7.000000000000001% rate, 30yr, 8% vacancy, 10% maintenance

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🏘️ Best Zip Codes in Memphis for Investors

38109
Cap Rate: 9.8%Cash Flow: +$520/mo$95,000
38114
Cap Rate: 8.9%Cash Flow: +$440/mo$115,000
38106
Cap Rate: 8.5%Cash Flow: +$400/mo$125,000

All Zip Codes in Memphis

ZipCap RateCash FlowHome PriceRent (3BR)DSCR
381099.8%+$520$95,000$1,150/mo1.52
381148.9%+$440$115,000$1,250/mo1.45