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Cranberry Twp, PA Cap Rate: 5.46% — Rental Property Analysis

Cranberry Twp is a budget-friendly market in the Northeast with a small but investable metro of 35,000. At a 5.46% estimated cap rate, this is a moderate market where rents of $1,450/mo lag behind home prices. With a median home price of $220,000 and steady population growth supports long-term rental demand, Cranberry Twp 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

Moderate — source deals carefully
Based on $220,000 median price and $1,450/mo median rent
Est. Cap Rate
5.46%
1% Rule
0.66%
Fails
GRM
12.6x
Price / Income
2.4x

Market Data

Median Home Price$220,000
Median Monthly Rent$1,450
Property Tax Rate1.32%
Population35,000
Population Growth1.5% / yr
Median Household Income$92,400
Vacancy Rate4.2%
Annual Appreciation2.8%

2026 Market Update: Cranberry Twp

Cranberry Twp's 0.7% rent-to-price ratio is well below the 1% rule. At median prices of $220,000, the $1,450/mo rent produces only $1,000/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 ($44K at 7%) would result in approximately $-170/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 12.6x gross rent multiplier and 4.2% vacancy rate position Cranberry Twp as a value-oriented market. With annual appreciation at 2.8%, total returns (cash flow + equity growth) run approximately 8.3% before financing leverage.

Deal Modeling & Scenarios for Cranberry Twp

All figures below are computed from Cranberry Twp's real market medians. Use them as a baseline; override with property-specific numbers in the calculators.

Property Tax Bill in Real Dollars

Annual$2,904
Monthly$242
% of Gross Rent16.7%

At 1.32% effective rate on the $220,000 median price, the annual tax bill is $2,904 — that's above national average (+25% vs the national average of ~1.06%). Verify the actual assessed value before purchase; sale-triggered reassessments can push the bill higher than the seller's current statement.

5-Year Cap Rate Trajectory

If Cranberry Twp continues appreciating at 2.8%/yr while rents grow at a conservative 3%/yr, cap rate holds roughly steady as price growth outpaces rent. Year-by-year projection at the median:

YearEst. PriceEst. Rent/MoCap Rate
Today$220K$1,4505.5%
Year 1$226K$1,4945.5%
Year 2$232K$1,5385.5%
Year 3$239K$1,5845.5%
Year 4$246K$1,6325.5%
Year 5$253K$1,6815.5%

Three Financing Scenarios

Same median-priced Cranberry Twp property — different capital structures. All-cash maximizes cap rate. Leverage trades cash flow for higher cash-on-cash return when the spread between cap rate and borrowing cost is positive.

ScenarioCash InvestedMonthly Cash FlowAnnual CFCash-on-Cash
All cash$220K$1,000$12,0055.5%
20% down conventional @ 7%$51K$-170$-2,040-4.0%
25% down DSCR @ 8.5%$64K$-268$-3,221-5.0%

Three Price Tiers: Below, At, and Above the Median

Properties don't always trade at the median. Lower-priced units typically offer higher cap rates but harder operations; higher-priced properties tend to compress cap rates while attracting better tenants. All-cash assumptions below:

TierPriceRent/MoNOI/YrCap RateMonthly CF
Below median (~75% price)$165K$1,233$8,9695.4%$747
At median$220K$1,450$10,1014.6%$842
Above median (~125% price)$275K$1,667$11,2334.1%$936

Total Return Over a 5-Year Hold

Cap rate is just one piece. Real estate returns come from four sources: cash flow, appreciation, principal paydown, and tax benefits. Assuming 20% down conventional financing at 7% and a 5-year hold at Cranberry Twp's historical appreciation rate of 2.8%:

Cash Flow (5yr)$-10,198
Appreciation$33K
Principal Paydown$13K
Total Return$36K

On a $44K down payment, that's a 80.9% total ROI over 5 years (not annualized). Tax benefits from depreciation are additional and depend on your personal tax bracket.

Risk Flags Specific to Cranberry Twp

Automated checks against the underlying data — surface only the risks that actually apply to Cranberry Twp, not generic boilerplate:

Worth notingProperty tax rate of 1.32% is above national average. Verify the assessed value before purchase — sale-triggered reassessments can push your actual bill up.

Cap Rate Calculator — Cranberry Twp

Pre-filled with Cranberry Twp medians. Adjust to match a specific property.

Property Details
$
$
3–8% typical
%
Monthly Expenses
1.32% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
4.44%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$9,757
net operating income
Gross Rent Multiplier
12.6x
Good (<15)
1% Rule
0.66%
✗ Fails
Monthly Cash Flow
$813
before debt service
Annual Breakdown
Gross Rental Income$17,400
Less Vacancy−$731
Effective Income$16,669
Less Operating Expenses−$6,912
Net Operating Income$9,757
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Cash-on-Cash Return — Cranberry Twp

Factor in financing to see your actual return on invested capital in Cranberry Twp.

$
$55,000
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-4.57%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$61,600
$55,000 down + $6,600 closing
Monthly Mortgage
$1,076
on $165K loan
Monthly Cash Flow
$-235
after all expenses
Annual Cash Flow
$-2,816
before taxes
Cash Flow Breakdown
Monthly Rent$1,450
Less Expenses−$609
Less Mortgage−$1,076
Monthly Cash Flow$-235

Is Cranberry Twp a Good Place to Invest in Rental Property?

Cranberry Twp, PA has a population of 35,000 and has been growing at 1.5% annually — above the national average, suggesting steady demand pressure on housing. The median home price of $220,000 paired with median rents of $1,450/mo produces an estimated cap rate of 5.46%.

Property taxes at 1.32% fall within the national average range and shouldn't present unusual challenges. The vacancy rate of 4.2% is impressively low, indicating tight rental supply and strong tenant demand — favorable for landlords.

At a price-to-income ratio of 2.4x, homes cost about 2.4 times the local median income of $92,400. This relatively affordable ratio suggests a deep pool of renters who find buying out of reach, supporting rental demand. Home values have appreciated at roughly 2.8% annually. Steady appreciation means total returns will be primarily cash flow-driven — the more sustainable model for long-term wealth building.

Bottom line: Cranberry Twp presents moderate opportunities. Cap rates near 5.46% mean deals need careful sourcing — look for value-add rehabs or emerging neighborhoods where rents are climbing.

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