%
CapRateCity
Free cap rate calculators for every US market
MarketsAlabamaEnterpriseAppreciation & Growth Forecast

Appreciation & Growth Forecast: Enterprise, AL

Updated 2026 · Based on median market data for Enterprise, AL

Cap Rate
7.89%
Median Price
$175K
Rent/Mo
$1,420
1% Rule
0.81%
Fails

Historical Appreciation

Home values in Enterprise, AL have appreciated at 2.3% per year. Appreciation is modest, meaning total returns will be driven primarily by cash flow rather than equity gains. This is actually preferred by many investors who want predictable, income-based returns.

5-Year Price Projection

If Enterprise continues appreciating at 2.3% annually, the current median of $175,000 would reach approximately $196,072 in 5 years — an equity gain of $21,072 on a property purchased at the median. With a 20% down payment of $35,000, that represents a 60% return on invested equity from appreciation alone. Combined with 5 years of NOI totaling approximately $69,072, the projected total return is $90,144 — a 258% cumulative return on the initial investment.

Growth Drivers

Enterprise's population growth of 0.8% is moderate and positive, supporting steady but not explosive demand for housing. Markets with this growth profile tend to appreciate consistently without the boom-bust cycles of hyper-growth metros.

Total Return Analysis

Smart investors evaluate both cash flow AND appreciation. In Enterprise, the 7.89% cap rate provides strong ongoing cash flow, while 2.3% annual appreciation adds an equity component. The strong cash flow here means your returns are mostly realized as income rather than paper equity — a more conservative and predictable return profile.

Sponsored · Want to analyze a specific property? DealCheck imports real listing data and runs the full analysis for you.
Try Free →

How Enterprise Compares

Enterprise vs Alabama state average and national average across key investment metrics. Enterprise outperforms both benchmarks on cap rate.

Metric
Enterprise
Alabama Avg
National Avg
Cap Rate
7.89%
5.70%
3.81%
Median Price
$175K
$227K
$333K
Median Rent
$1,420
$1,347
$1,524
Property Tax
0.42%
0.42%
1.08%
Vacancy
6.4%
6.4%
5.6%
Pop. Growth
0.8%/yr
0.8%/yr
0.9%/yr

Nearby South Markets

City
Cap Rate
Price
Rent
Tax
Enterprise, AL
7.9%
$175K
$1,420
0.42%
Shreveport, LA
6.9%
$175K
$1,300
0.54%
Ardmore, OK
5.9%
$175K
$1,170
0.88%
Houma, LA
7.1%
$175K
$1,320
0.54%
Murray, KY
5.8%
$175K
$1,140
0.81%

Frequently Asked Questions

How fast are home prices rising in Enterprise?
Home values in Enterprise have been appreciating at 2.3% per year. This is near the national average, providing steady equity growth. At this rate, a $175K home would be worth approximately $196K in 5 years.
Is Enterprise a growing city?
Enterprise's population of 50,000 is growing at 0.8% per year. Moderate growth provides stable demand without overheating.
What is the best investment strategy for Enterprise?
With a 7.89% cap rate and $175K median prices, Enterprise is well-suited for buy-and-hold cash flow investing. BRRRR strategies also work well given the affordable price points.
How does Enterprise compare to other South cities?
Among South markets, Enterprise's 7.89% cap rate exceeds the Alabama average of 5.70%. Prices at $175K are below the state average of $227K. See our comparison tool to evaluate Enterprise against specific markets.
Full Enterprise Analysis →Cap Rate CalculatorBRRRR Calculator

Explore Enterprise & Related Markets

More Enterprise Guides

Rental Property Investment GuideRent AnalysisProperty Tax GuideCost of Living & AffordabilityNeighborhood Investment Guide

Similar Markets in the South

Vidalia, GA$165K · $1,400/mo
7.8%
Kingsville, TX$150K · $1,420/mo
8.2%
Lumberton, NC$130K · $1,050/mo
7.6%
Ozark, AL$155K · $1,310/mo
8.3%
McComb, MS$105K · $840/mo
7.4%
The CapRateCity Report
Weekly market analysis: highest cap rate cities, emerging markets, and deal breakdowns. Free, no spam.