Seligman, AZ — Rental Investment Analysis

🟢STRONGexcellent cash flow market

Data: HUD FMR FY2024 + Zillow ZHVI April 2026 + Freddie Mac rates. Last updated June 2026.

Investment Summary

As of 2026, Seligman, AZ has a median cap rate of 9.7%, making it one of the top cash-flowing rental markets in the United States.

Seligman is one of the strongest cash flow markets in the data. At $153,779 median home price, Seligman is affordable by national standards and within reach for most conventional loans. With 3-bedroom rents around $1,780/month, the 9.7% cap rate tells the story. A typical rental here cash flows +$423/month after all expenses — strong passive income from day one.

The market passes the 1% rule (1.16%), which is increasingly rare and signals strong rent-to-price fundamentals. DSCR of 1.52 means the property's income comfortably covers debt service — DSCR loans should be easy to qualify for here.

Bottom line: Buy here if you want reliable monthly income. Seligman is a cash flow market — don't expect rapid appreciation, but the checks come in every month.

Data sources: HUD Fair Market Rents (FY2024), Zillow Home Value Index (April 2026), Freddie Mac Primary Mortgage Market Survey.

Cap Rate

9.7%

Above average

Monthly Cash Flow

+$423

After all expenses

Price-to-Rent

7.2

Investor-friendly

DSCR

1.52

Passes lender test

Key Metrics

Median Home Price
$153,779
Average Rent (3BR)
$1,780/mo
Price-to-Rent Ratio
7.2(good)
1% Rule
1.16%(passes)
Cash-on-Cash Return
14.4%
Vacancy Rate
8.0%

Market Strength

Unemployment Rate
4.7%(+0.4% vs national)
Rent Growth (YoY)
+2.9%(national avg)
Population Growth
+2.3% YoY

Assumptions Used

20% down, 6.52% rate, 30yr, 8% vacancy, 10% maintenance

Customize these numbers →

Property Tax Rate

0.62%

of assessed value (AZ avg)

Median Income

$65,913

household (AZ avg)

Rent-to-Income

32.4%

Moderate

Section 8 Max Rent

$1,780/mo

3BR voucher payment

AZ Investor Climate

Landlord Friendly

8/10

State Income Tax

Has state tax

Property Tax

0.62% effective

Population Trend

+2.3% (3yr)

Best Zip Codes in Seligman for Investors

86337
Cap Rate: 9.7%Cash Flow: +$423/mo$153,779
86337
Cap Rate: 9.7%Cash Flow: +$423/mo$153,779

All Zip Codes in Seligman

ZipCap RateCash FlowHome PriceRent (3BR)DSCR
863379.7%+$423$153,779$1,780/mo1.52
863379.7%+$423$153,779$1,780/mo1.52