Side-by-side comparison of Carmel, IN and Lafayette, IN — cap rates, rent, prices, and investment metrics.
Cash flow: Lafayette has the edge with an estimated cap rate of 4.61% compared to Carmel's 3.56%. Neither city passes the 1% rule outright, so deal sourcing and value-add strategies become more important. Median home prices are $395,000 in Carmel vs $195,000 in Lafayette, while rents come in at $1,780/mo and $1,080/mo respectively.
Growth & appreciation: Carmel is growing faster at 1.8% annually vs Lafayette's 0.6%. Carmel leads on home value appreciation at 3% per year. Strong population growth typically translates to sustained rental demand and long-term price support.
Costs & risk: Property taxes are 0.82% in Carmel vs 0.85% in Lafayette. Vacancy rates of 4.2% and 5.8% are both healthy, suggesting strong tenant demand in both markets.
Bottom line: Carmel edges out Lafayette on most key metrics. While cap rates are moderate at 3.56%, Carmel's overall profile is stronger. Use our free calculators to model specific deals in Carmel or Lafayette.