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Muncie vs North Vernon for Rental Property Investing

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

Muncie wins 3–0 across key metrics
Muncie leads on cash flow (5.10% vs 3.26% cap rate)
Metric
Muncie, IN
North Vernon, IN
Est. Cap Rate
5.10%
3.26%
Median Home Price
$165,000
$220,000
Median Monthly Rent
$980
$950
1% Rule
0.59%
0.43%
GRM
14.0x
19.3x
Price / Income
2.7x
3.6x
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

Muncie vs North Vernon: Which Is Better for Investors?

Cash flow: Muncie has the edge with an estimated cap rate of 5.10% compared to North Vernon's 3.26%. Neither city passes the 1% rule outright, so deal sourcing and value-add strategies become more important. Median home prices are $165,000 in Muncie vs $220,000 in North Vernon, while rents come in at $980/mo and $950/mo respectively. For context, the national average cap rate is 3.81% and average price is $333K.

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

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

Entry point: Muncie offers a lower entry at $165K vs North Vernon's $220K — a difference of $55K. With a 20% down payment, that's $33K vs $44K. Muncie combines the lower price with a higher cap rate — a compelling combination.

Bottom line: Muncie edges out North Vernon 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 Muncie or North Vernon.

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Muncie, IN
5.10% cap rate · $165,000 median · $980/mo
Full analysis →
North Vernon, IN
3.26% cap rate · $220,000 median · $950/mo
Full analysis →

Frequently Asked Questions

Is Muncie or North Vernon better for rental investing?
Muncie wins 3–0 across our 7 key metrics (cap rate, 1% rule, GRM, taxes, vacancy, growth, appreciation). Muncie's 5.10% cap rate and $165K median price offer both higher returns and a lower entry point.
What is the cap rate difference between Muncie and North Vernon?
Muncie has a 5.10% cap rate vs North Vernon's 3.26% — a difference of 1.84 percentage points. This is a significant gap that meaningfully impacts cash flow. For context, the national average is 3.81%.
Which city has lower property taxes?
North Vernon has lower property taxes at 0.84% vs 0.84%. On a $193K property, that's a difference of approximately $462/year in tax expense — money that goes directly to (or from) your cash flow.
Which city is growing faster?
Muncie is growing at 0.9% annually vs North Vernon's 0.9%. Moderate growth provides stable demand. Muncie's appreciation rate of 2.6% also leads on home value growth.

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