Is Fayette County, TN good for real estate investing?

Fayette County has an investment score of 58/100, rated as "Hold". The county ranks #383 nationally among 1000 counties analyzed.

What is the rent-to-price ratio in Fayette?

The rent-to-price ratio in Fayette County is 6.35% annually, which ranks in the 60th percentile nationally. Higher ratios indicate better cash flow potential.

What is the median home price in Fayette?

The median home price in Fayette County is $366,798. This ranks #790 in affordability among all US counties.

Can you cash flow on rental properties in Fayette?

Based on median values with 20% down at current rates, a typical rental in Fayette County would generate negative cash flow of $661/month. Individual property performance varies based on purchase price, rent, and operating expenses.

Fayette County

TennesseePopulation: 42,228Memphis, TN Metro

/100

Hold

#383 of 1,000 counties

#30 in Tennessee (95 counties)

Market Snapshot

$366,798

Median Home Price

57% above national median

$1,941/mo

Median Rent

28% above national median

6.35%

Rent-to-Price Ratio

Top 40% nationally

-$661

Est. Monthly Cash Flow

With 20% down at 6.9% rate

Price History

Trend based on YoY growth rate. Source: Zillow ZHVI/ZORI

Quick Investment Calculator

Down Payment20%

5%50%100%

Purchase

Purchase Price$366,798

Down Payment (20%)$73,360

Loan Amount$293,438

Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,941

Monthly P&I-$1,923

Est. Expenses (35%)-$679

Net Cash Flow-$661/mo

4.1%

Cap Rate (all cash)

-9.4%

Cash-on-Cash Return

6.35%

Rent-to-Price Ratio

Negative leverage: At 6.85% rates, borrowing costs exceed the 4.1% cap rate. All-cash buyers may see better returns.

* Based on county median values. 35% expenses include taxes, insurance, maintenance, vacancy, and property management. Actual results vary by property.

Run Full Analysis Try House Hack Strategy

Score Breakdown

Overall Investment Score

58/100

Cash Flow(30%)

64/100

Based on 6.35% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)

57/100

Based on 0.7% YoY price growth. Moderate growth (3-8%) scores highest.

Stability(25%)

50/100

Population data not available.

Affordability(20%)

62/100

Price-to-income ratio of 4.5x. Lower ratios indicate more affordable markets.

Scores are calculated using real Zillow home value and rent data, Census population data, and economic indicators. The weighted average produces the overall investment score. Markets with missing rent data use estimated values based on regional averages.

Investment Outlook

Strengths

+Complete rent data available

Challenges

-Negative cash flow at typical financing (-$661/mo)
-Negative leverage (cap rate 4.1% < mortgage rate 6.9%)

Economic Indicators

Population

42,228

Median Income

$81,074

vs $57,025 national est.

Unemployment Rate

—

Data pending

Price-to-Income

4.5x

Moderately affordable

Compare to Nearby Counties

County					Verdict
CurrentFayetteTN	58	$366,798	$1,941	6.35%	Hold
HaywoodTN	58	$167,218	$1,013	7.27%	Hold	View
WayneTN	58	$172,328	Est. pending	—	Hold	View
CarrollTN	58	$176,012	Est. pending	—	Hold	View
SullivanTN	57	$254,306	$1,203	5.68%	Hold	View
FentressTN	56	$236,817	Est. pending	—	Hold	View

The Bottom Line

HoldFayette is a neutral market. Consider house hacking or targeting below-market deals.

Fayette County in Tennessee scores 58/100, ranking #383 of 1,000 US counties (top 51%). The 6.35% rent-to-price ratio indicates moderate cash flow potential. Current market conditions make traditional buy-and-hold investing challenging. Consider house hacking, value-add strategies, or all-cash purchases.

Monthly Cash Flow

$-661/mo

Cap Rate

4.1%

Cash-on-Cash

-9.4%

Ready to Analyze a Deal in Fayette?

Use our investment calculators to run detailed numbers on specific properties.

Single Family1-4 unit rentals, BRRRR House HackOwner-occupied strategy Multifamily5+ unit properties

Explore Other Markets

Quick Investment Calculator

Down Payment20%

5%50%100%

Purchase

Purchase Price$366,798

Down Payment (20%)$73,360

Loan Amount$293,438

Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,941

Monthly P&I-$1,923

Est. Expenses (35%)-$679

Net Cash Flow-$661/mo

4.1%

Cap Rate (all cash)

-9.4%

Cash-on-Cash Return

6.35%

Rent-to-Price Ratio

Negative leverage: At 6.85% rates, borrowing costs exceed the 4.1% cap rate. All-cash buyers may see better returns.

* Based on county median values. 35% expenses include taxes, insurance, maintenance, vacancy, and property management. Actual results vary by property.

Run Full Analysis Try House Hack Strategy

Score Breakdown

Overall Investment Score

58/100

Cash Flow(30%)

64/100

Based on 6.35% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)

57/100

Based on 0.7% YoY price growth. Moderate growth (3-8%) scores highest.

Stability(25%)

50/100

Population data not available.

Affordability(20%)

62/100

Price-to-income ratio of 4.5x. Lower ratios indicate more affordable markets.

County

Verdict

CurrentFayetteTN

$366,798

$1,941

6.35%

Hold

HaywoodTN

$167,218

$1,013

7.27%

Hold

View

WayneTN

$172,328

Est. pending

—

Hold

View

CarrollTN

$176,012

Est. pending

—

Hold

View

SullivanTN

$254,306

$1,203

5.68%

Hold

View

FentressTN

$236,817

Est. pending

—

Hold

View

The Bottom Line

HoldFayette is a neutral market. Consider house hacking or targeting below-market deals.

Monthly Cash Flow

$-661/mo

Cap Rate

4.1%

Cash-on-Cash

-9.4%