%
CapRateCity
Free cap rate calculators for every US market
← All markets

Cap Rate Analysis: Baltimore, MD

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

Moderate — source deals carefully
Based on $230,000 median price and $1,380/mo median rent
Est. Cap Rate
4.87%
1% Rule
0.60%
Fails
GRM
13.9x
Price / Income
4.2x

Market Data

Median Home Price$230,000
Median Monthly Rent$1,380
Property Tax Rate1.04%
Population570,000
Population Growth-0.2% / yr
Median Household Income$54,800
Vacancy Rate6.8%
Annual Appreciation2.3%

Cap Rate Calculator — Baltimore

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

Property Details
$
$
3–8% typical
%
Monthly Expenses
1.04% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
3.98%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$9,146
net operating income
Gross Rent Multiplier
13.9x
Good (<15)
1% Rule
0.60%
✗ Fails
Monthly Cash Flow
$762
before debt service
Annual Breakdown
Gross Rental Income$16,560
Less Vacancy−$1,126
Effective Income$15,434
Less Operating Expenses−$6,288
Net Operating Income$9,146

Cash-on-Cash Return — Baltimore

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

$
$57,500
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-6.05%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$64,400
$57,500 down + $6,900 closing
Monthly Mortgage
$1,125
on $173K loan
Monthly Cash Flow
$-325
after all expenses
Annual Cash Flow
$-3,895
before taxes
Cash Flow Breakdown
Monthly Rent$1,380
Less Expenses−$580
Less Mortgage−$1,125
Monthly Cash Flow$-325

Is Baltimore a Good Place to Invest in Rental Property?

Baltimore, MD has a population of 570,000 and has been growing at -0.2% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $230,000 paired with median rents of $1,380/mo produces an estimated cap rate of 4.87%.

Property taxes at 1.04% fall within the national average range and shouldn't present unusual challenges. The vacancy rate of 6.8% is moderate and within normal parameters for a healthy rental market.

At a price-to-income ratio of 4.2x, homes cost about 4.2 times the local median income of $54,800. This relatively affordable ratio suggests a deep pool of renters who find buying out of reach, supporting rental demand. Home values have appreciated at roughly 2.3% annually. Steady appreciation means total returns will be primarily cash flow-driven — the more sustainable model for long-term wealth building.

Bottom line: Baltimore presents moderate opportunities. Cap rates near 4.87% mean deals need careful sourcing — look for value-add rehabs or emerging neighborhoods where rents are climbing.

Run a BRRRR analysis for Baltimore
Model a buy-rehab-refinance deal with Baltimore data pre-loaded.
Open BRRRR Calculator →