Cap Rate in Cleveland, OH

2026 Market Overview for Real Estate Investors

Avg Cap Rate

9.8%

#2 of 50 markets

Median Home Price

$105,000

Purchase price

Median Monthly Rent

$1,100

$13,200/yr gross

Rent-to-Price Ratio

1.05%

Strong (1% rule range)

Cap Rate Rating

Very Good

Above average. Make sure the higher return is not masking higher risk or deferred maintenance.

Market Snapshot

Population	367,991
5-Year Population Growth	-2.1%
Median Household Income	$33,500
Vacancy Rate	9.8%
Property Tax Rate	2.19%($2,300/yr)

Investor Takeaway

Cleveland remains one of the top cash-flow markets in the US. The Tremont and Ohio City neighborhoods have seen strong rent growth while maintaining investor-friendly price points.

Quick Math

Estimated annual numbers for a median-priced property in Cleveland, OH before financing:

Annual Gross Rent$13,200

Less Vacancy (9.8%)($1,294)

Less Property Tax (2.19%)($2,300)

Less Est. Insurance + Maintenance($2,100)

Estimated NOI$7,507

Implied Cap Rate7.1%

Estimates based on median values. Insurance + maintenance estimated at 2% of home value. Actual results vary by property condition, neighborhood, and management.