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MarketsMaineAugusta

Cap Rate Analysis: Augusta, ME

Investment metrics, interactive calculators, and data-driven analysis for Augusta rental properties.

Market data powered by Zillow Home Value Index (ZHVI) and Zillow Observed Rent Index (ZORI) · Updated Feb 2026

Challenging for pure cash flow
Based on $305,000 median price and $1,420/mo median rent
Est. Cap Rate
3.20%
1% Rule
0.47%
Fails
GRM
17.9x
Price / Income
6.4x

Market Data

Median Home Price$305,000
Median Monthly Rent$1,420
Property Tax Rate1.3%
Population50,000
Population Growth0.3% / yr
Median Household Income$47,867
Vacancy Rate5.1%
Annual Appreciation2.6%

Cap Rate Calculator — Augusta

Pre-filled with Augusta medians. Adjust to match a specific property.

Property Details
$
$
3–8% typical
%
Monthly Expenses
1.3% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
2.60%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$7,915
net operating income
Gross Rent Multiplier
17.9x
High (>15)
1% Rule
0.47%
✗ Fails
Monthly Cash Flow
$660
before debt service
Annual Breakdown
Gross Rental Income$17,040
Less Vacancy−$869
Effective Income$16,171
Less Operating Expenses−$8,256
Net Operating Income$7,915
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Cash-on-Cash Return — Augusta

Factor in financing to see your actual return on invested capital in Augusta.

$
$76,250
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-9.38%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$85,400
$76,250 down + $9,150 closing
Monthly Mortgage
$1,491
on $229K loan
Monthly Cash Flow
$-667
after all expenses
Annual Cash Flow
$-8,007
before taxes
Cash Flow Breakdown
Monthly Rent$1,420
Less Expenses−$596
Less Mortgage−$1,491
Monthly Cash Flow$-667

Is Augusta a Good Place to Invest in Rental Property?

Augusta, ME has a population of 50,000 and has been growing at 0.3% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $305,000 paired with median rents of $1,420/mo produces an estimated cap rate of 3.20%.

Property taxes at 1.3% fall within the national average range and shouldn't present unusual challenges. The vacancy rate of 5.1% is moderate and within normal parameters for a healthy rental market.

At a price-to-income ratio of 6.4x, homes cost about 6.4 times the local median income of $47,867. This elevated ratio means homeownership is stretched, supporting rental demand but limiting buyer pools. Home values have appreciated at roughly 2.6% annually. Steady appreciation means total returns will be primarily cash flow-driven — the more sustainable model for long-term wealth building.

Bottom line: At current median prices, Augusta is challenging for pure cash flow investing. Consider BRRRR strategies with below-market purchases, or look at neighboring metros with stronger price-to-rent ratios.

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