Appreciation Investing in Louisville, KY

Appreciation Score: 3.5/10Ranked #31 of 52 markets

Data-driven appreciation analysis for Louisville, KY — score breakdown, key investment metrics, and how it compares to other markets.

Last updated: May 2026

Score Breakdown

Appreciation Score:3.5
Population Growth(40%)
+1.5%2.8
Median Household Income(25%)
$67,8494.2
Low Vacancy(20%)
8.0%5.0
Metro Size (Demand)(15%)
777,3922.3

Key Metrics for Appreciation

Pop. Growth

+1.5%

Moderate

Median Income

$67,849

Household income

Vacancy Rate

8.0%

Moderate supply

Population

777K

Metro demand indicator

Appreciation Investment Thesis

Louisville combines Midwest affordability with Southern growth dynamics. Low property taxes and a diversified economy (healthcare, logistics, bourbon tourism) make it a reliable rental market.

How Louisville Compares

RankCityAppreciation ScoreCap RateMedian Price
#28Knoxville, TN4.25.8%$270,000
#29Oklahoma City, OK3.77.7%$175,000
#30Cincinnati, OH3.67.0%$195,000
#31Louisville, KY3.57.3%$195,000
#32Indianapolis, IN3.48.1%$175,000
#33Kansas City, MO3.37.5%$195,000
#34Savannah, GA3.35.9%$275,000

Showing markets ranked near Louisville for this strategy.

Quick Math: Estimated Annual Return

Annual Gross Rent ($1,300/mo)$15,600
Less: Vacancy (8%)-$1,248
Less: Property Tax (0.83%)-$1,619
Less: Insurance (~0.5%)-$975
Less: Maintenance (~1.5%)-$2,925
Estimated NOI$8,833
Implied Cap Rate4.5%

Based on median market data. Your actual returns will vary based on specific property, financing, and management costs. Always run your own analysis before investing.

Frequently Asked Questions

What is the appreciation score for Louisville, KY?

Louisville, KY scores 3.5 out of 10 on our appreciation score, ranking #31 out of 52 markets we track. Weighted composite: population growth (40%), median household income (25%), low vacancy (20%), metro size/demand (15%). Scale 0–10.

Is Louisville a good city for appreciation investing?

Louisville, KY ranks #31 for appreciation investing with a score of 3.5/10. While not a top-ranked market for this strategy, it may have strengths in other investing approaches.

What is the average cap rate in Louisville?

The average cap rate in Louisville, KY is 7.3%. The median home price is $195,000 with a median monthly rent of $1,300, resulting in a rent-to-price ratio of 0.67%.

What are the property taxes in Louisville?

The effective property tax rate in Louisville, KY is 0.83%. On a $195,000 property, that translates to approximately $1,619 per year in property taxes.

How does Louisville compare to other appreciation markets?

Among our 52 tracked markets, Louisville, KY ranks #31 for appreciation investing. Other markets may be stronger for this particular strategy, though it may excel in different approaches.

What is driving population growth in Louisville?

Louisville, KY has a 5-year population growth rate of +1.5% and a median household income of $67,849. Moderate population growth combined with economic diversification supports steady long-term appreciation potential.

Run Your Own Numbers for Louisville

Use our free calculators pre-filled with Louisville, KY market data, or adjust the numbers for your specific deal.