Feasible Rent-Price Ratio in Utah

[Nick Hulme]

Cashflow is hard to come by and Utah is a tough market for that. My wife and I are planning to purchase our first small multifamily rental property in Utah County this year and we would like to hear others' thoughts on what we should have as an optimistic yet feasible goal for rent/price ratio.

[Taylor Woodbury]

Hey Nick,

There are a few variables that go into that. That ratio can be higher or lower depending on the city/neighborhood, the condition of the property, and the way that you rent it out. There are ways to optimize it, but on average I'm seeing the rent-to-price ratio at about 0.005. Some areas are above, some are below, and there is everything in between. Happy to chat anytime you'd like about how to optimize that. I have many of my own units and have helped many clients buy investments in Utah County.