Reno average SFR cap rates

[Trevor Richardson]

What are the average cap rates for Reno single family rentals?

After analyzing over 1,300 active single family homes in Reno, Nevada we found that the majority of homes cash flow around a 4% cap rate, with outliers in the 5s and even some at 6%.

A cap rate is a measure of a property's investment potential, calculated by dividing the property's net operating income (NOI) by its purchase price. A higher cap rate indicates a better investment, as it means the property is generating more income relative to its cost.

Our findings suggest that Reno is a good market for real estate investors, as it offers the potential for strong cash flow returns. However, investors should be aware that cap rates can vary depending on a number of factors, including the property's location, condition, and amenities. 

Investors coming out of the San Francisco, San Jose, Sacramento markets can experience lower entry pricing for single family investments. That’s why Reno has been a close market to Northern California investors to invest in.