Rippey, IA — Rental Investment Analysis
🟢GOOD— solid returnsData: HUD FMR FY2024 + Zillow ZHVI April 2026 + Freddie Mac rates. Last updated June 2026.
Investment Summary
As of 2026, Rippey, IA offers a 6.5% cap rate with median home prices of $194,553 and 3-bedroom rents of $1,620/month.
Rippey offers solid returns for rental investors. At $194,553 median home price, Rippey is affordable by national standards and within reach for most conventional loans. With 3-bedroom rents around $1,620/month, the 6.5% cap rate tells the story. Cash flow is modest at +$17/month — positive but tight. Rate increases or vacancies could flip it negative.
The 1% rule comes in at 0.83% — doesn't quite pass, but close enough to find individual deals that work. DSCR of 1.02 is tight — you'll pass most lender minimums but with little margin for error.
Bottom line: Rippey offers a balance of moderate cash flow and growth potential. Good for investors who want some income while building equity over time.
Data sources: HUD Fair Market Rents (FY2024), Zillow Home Value Index (April 2026), Freddie Mac Primary Mortgage Market Survey.
Cap Rate
6.5%
Above average
Monthly Cash Flow
+$17
After all expenses
Price-to-Rent
10.0
Investor-friendly
DSCR
1.02
Tight
Key Metrics
- Median Home Price
- $194,553
- Average Rent (3BR)
- $1,620/mo
- Price-to-Rent Ratio
- 10.0(good)
- 1% Rule
- 0.83%(fails — need 1%+)
- Cash-on-Cash Return
- 0.5%
- Vacancy Rate
- 8.0%
Market Strength
- Unemployment Rate
- 3.3%(-1% vs national)
- Rent Growth (YoY)
- +2.9%(national avg)
- Population Growth
- -1% YoY
Property Tax Rate
1.52%
of assessed value (IA avg)
Median Income
$65,573
household (IA avg)
Rent-to-Income
29.6%
Affordable
Section 8 Max Rent
$1,620/mo
3BR voucher payment
IA Investor Climate
Landlord Friendly
7/10
State Income Tax
Has state tax
Property Tax
1.52% effective
Population Trend
-1% (3yr)