Coos Bay, OR Cap Rate: 4.25% — Rental Property Analysis
Coos Bay is a mid-range market in the West with a small but investable metro of 50,000. At a 4.25% estimated cap rate, this is a moderate market where rents of $1,780/mo lag behind home prices. With a median home price of $340,000 and steady population growth supports long-term rental demand, Coos Bay offers opportunities for investors who source deals carefully.
Market data powered by Zillow Home Value Index (ZHVI) and Zillow Observed Rent Index (ZORI) · Updated Feb 2026
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Moderate — source deals carefully
Based on $340,000 median price and $1,780/mo median rent
Est. Cap Rate
4.25%
1% Rule
0.52%
Fails
GRM
15.9x
Price / Income
5.9x
Market Data
Median Home Price$340,000
Median Monthly Rent$1,780
Property Tax Rate0.94%
Population50,000
Population Growth1% / yr
Median Household Income$57,433
Vacancy Rate4.7%
Annual Appreciation2.5%
2026 Market Update: Coos Bay
Coos Bay's 0.5% rent-to-price ratio is well below the 1% rule. At median prices of $340,000, the $1,780/mo rent produces only $1,203/mo in NOI. Investors here need to target below-median properties or pursue value-add strategies to make the numbers work.
At current rates, a 20% down conventional loan ($68K at 7%) would result in approximately $-606/mo cash flow — negative at median prices. Larger down payments, seller financing, or buying 15–25% below median are strategies to turn the numbers positive.
The 15.9x gross rent multiplier and 4.7% vacancy rate position Coos Bay as a balanced market. With annual appreciation at 2.5%, total returns (cash flow + equity growth) run approximately 6.7% before financing leverage.
Cap Rate Calculator — Coos Bay
Pre-filled with Coos Bay medians. Adjust to match a specific property.
Property Details
$
$
3–8% typical
%
Monthly Expenses
0.94% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
3.52%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$11,968
net operating income
Gross Rent Multiplier
15.9x
High (>15)
1% Rule
0.52%
✗ Fails
Monthly Cash Flow
$997
before debt service
Annual Breakdown
Gross Rental Income$21,360
Less Vacancy−$1,004
Effective Income$20,356
Less Operating Expenses−$8,388
Net Operating Income$11,968
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Factor in financing to see your actual return on invested capital in Coos Bay.
$
$85,000
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-7.95%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$95,200
$85,000 down + $10,200 closing
Monthly Mortgage
$1,662
on $255K loan
Monthly Cash Flow
$-630
after all expenses
Annual Cash Flow
$-7,565
before taxes
Cash Flow Breakdown
Monthly Rent$1,780
Less Expenses−$748
Less Mortgage−$1,662
Monthly Cash Flow$-630
Is Coos Bay a Good Place to Invest in Rental Property?
Coos Bay, OR has a population of 50,000 and has been growing at 1% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $340,000 paired with median rents of $1,780/mo produces an estimated cap rate of 4.25%.
Property taxes at 0.94% fall within the national average range and shouldn't present unusual challenges. The vacancy rate of 4.7% is impressively low, indicating tight rental supply and strong tenant demand — favorable for landlords.
At a price-to-income ratio of 5.9x, homes cost about 5.9 times the local median income of $57,433. This moderate ratio indicates a balanced rent-vs-buy market. Home values have appreciated at roughly 2.5% annually. Steady appreciation means total returns will be primarily cash flow-driven — the more sustainable model for long-term wealth building.
Bottom line: Coos Bay presents moderate opportunities. Cap rates near 4.25% mean deals need careful sourcing — look for value-add rehabs or emerging neighborhoods where rents are climbing.
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