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

Marion vs Muncie for Rental Property Investing

Side-by-side comparison of Marion, IN and Muncie, IN — cap rates, rent, prices, and investment metrics.

Muncie wins 3–0 across key metrics
Muncie leads on cash flow (5.10% vs 5.09% cap rate) · Marion leads on population growth
Metric
Marion, IN
Muncie, IN
Est. Cap Rate
5.09%
5.10%
Median Home Price
$145,000
$165,000
Median Monthly Rent
$860
$980
1% Rule
0.59%
0.59%
GRM
14.1x
14.0x
Price / Income
2.4x
2.7x
Property Tax Rate
0.84%
0.84%
Vacancy Rate
5.5%
5.5%
Population Growth
0.9% / yr
0.9% / yr
Annual Appreciation
2.6%
2.6%
Population
50,000
50,000
Median Income
$60,888
$60,888

Marion vs Muncie: Which Is Better for Investors?

Cash flow: Muncie has the edge with an estimated cap rate of 5.10% compared to Marion's 5.09%. Neither city passes the 1% rule outright, so deal sourcing and value-add strategies become more important. Median home prices are $145,000 in Marion vs $165,000 in Muncie, while rents come in at $860/mo and $980/mo respectively. For context, the national average cap rate is 3.81% and average price is $333K.

Growth & appreciation: Marion is growing faster at 0.9% annually vs Muncie's 0.9%. Marion leads on home value appreciation at 2.6% per year.

Costs & risk: Property taxes are 0.84% in Marion vs 0.84% in Muncie. Vacancy rates of 5.5% and 5.5% are both healthy, suggesting strong tenant demand in both markets.

Entry point: Marion offers a lower entry at $145K vs Muncie's $165K — a difference of $20K. With a 20% down payment, that's $29K vs $33K. Muncie's higher price may be justified by better market fundamentals.

Bottom line: Muncie edges out Marion on most key metrics. With a 5.10% cap rate, it offers solid cash flow potential. Use our free calculators to model specific deals in Marion or Muncie.

Sponsored · Want to analyze a specific property? DealCheck imports real listing data and runs the full analysis for you.
Try Free →
Marion, IN
5.09% cap rate · $145,000 median · $860/mo
Full analysis →
Muncie, IN
5.10% cap rate · $165,000 median · $980/mo
Full analysis →

Frequently Asked Questions

Is Marion or Muncie better for rental investing?
Muncie wins 3–0 across our 7 key metrics. Muncie's 5.10% cap rate and $165K median price give it the edge overall.
What is the cap rate difference between Marion and Muncie?
Marion has a 5.09% cap rate vs Muncie's 5.10% — a difference of 0.01 percentage points. This is a relatively small difference — other factors like growth, taxes, and local market conditions may matter more. For context, the national average is 3.81%.
Which city has lower property taxes?
Muncie has lower property taxes at 0.84% vs 0.84%. On a $155K property, that's a difference of approximately $168/year in tax expense — money that goes directly to (or from) your cash flow.
Which city is growing faster?
Marion is growing at 0.9% annually vs Muncie's 0.9%. Moderate growth provides stable demand. Marion's appreciation rate of 2.6% also leads on home value growth.

Explore More

The CapRateCity Report
Weekly market analysis: highest cap rate cities, emerging markets, and deal breakdowns. Free, no spam.