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New Castle vs Plymouth for Rental Property Investing

Side-by-side comparison of New Castle, IN and Plymouth, IN — cap rates, rent, prices, and investment metrics.

New Castle wins 3–0 across key metrics
New Castle leads on cash flow (3.75% vs 3.21% cap rate)
Metric
New Castle, IN
Plymouth, IN
Est. Cap Rate
3.75%
3.21%
Median Home Price
$185,000
$250,000
Median Monthly Rent
$880
$1,070
1% Rule
0.48%
0.43%
GRM
17.5x
19.5x
Price / Income
3.0x
4.1x
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

New Castle vs Plymouth: Which Is Better for Investors?

Cash flow: New Castle has the edge with an estimated cap rate of 3.75% compared to Plymouth's 3.21%. Neither city passes the 1% rule outright, so deal sourcing and value-add strategies become more important. Median home prices are $185,000 in New Castle vs $250,000 in Plymouth, while rents come in at $880/mo and $1,070/mo respectively. For context, the national average cap rate is 3.81% and average price is $333K.

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

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

Entry point: New Castle offers a lower entry at $185K vs Plymouth's $250K — a difference of $65K. With a 20% down payment, that's $37K vs $50K. New Castle combines the lower price with a higher cap rate — a compelling combination.

Bottom line: New Castle edges out Plymouth on most key metrics. While cap rates are moderate at 3.75%, New Castle's overall profile is stronger. Use our free calculators to model specific deals in New Castle or Plymouth.

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New Castle, IN
3.75% cap rate · $185,000 median · $880/mo
Full analysis →
Plymouth, IN
3.21% cap rate · $250,000 median · $1,070/mo
Full analysis →

Frequently Asked Questions

Is New Castle or Plymouth better for rental investing?
New Castle wins 3–0 across our 7 key metrics (cap rate, 1% rule, GRM, taxes, vacancy, growth, appreciation). New Castle's 3.75% cap rate and $185K median price offer both higher returns and a lower entry point.
What is the cap rate difference between New Castle and Plymouth?
New Castle has a 3.75% cap rate vs Plymouth's 3.21% — a difference of 0.54 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?
Plymouth has lower property taxes at 0.84% vs 0.84%. On a $218K property, that's a difference of approximately $546/year in tax expense — money that goes directly to (or from) your cash flow.
Which city is growing faster?
New Castle is growing at 0.9% annually vs Plymouth's 0.9%. Moderate growth provides stable demand. New Castle's appreciation rate of 2.6% also leads on home value growth.

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