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Rental Property Investment Guide: Fort Morgan, CO

Updated 2026 · Based on median market data for Fort Morgan, CO

Cap Rate
3.04%
Median Price
$320K
Rent/Mo
$1,220
1% Rule
0.38%
Fails

Market Snapshot

Fort Morgan sits in the West with a population of 50,000 growing rapidly at 1.3% annually. The median home costs $320,000 while rents average $1,220/mo, producing an estimated cap rate of 3.04%. Cash flow investing here requires creative strategies like BRRRR or value-add approaches.

Who Should Invest Here

Fort Morgan works best for experienced investors with a clear strategy — Section 8, student housing, or deep value-add rehabs. The 3.04% cap rate at median prices is tight, so success depends on buying below market, forcing appreciation through renovation, or accessing above-market rent streams through niche tenant bases.

Deal Criteria for Fort Morgan

Target properties priced 15-25% below the $320,000 median — around $256,000 or less. At this price point with $1,220/mo rents, your cap rate improves to roughly 4.1%. Factor in 0.51% property taxes ($1,632/yr), budget 5% of gross rent for maintenance, and underwrite to a 4.9% vacancy rate. On a 20% down conventional loan at 7%, monthly PITI will run approximately $1,938.

Risks and Considerations

Every deal should be evaluated individually using our calculator tools. Median data provides a starting point; actual returns depend on the specific property, financing, and your management approach.

Next Steps

Run the numbers on a specific Fort Morgan property using our cap rate calculator (pre-filled with Fort Morgan data). Compare Fort Morgan against similar markets in the West region. If you're considering a value-add approach, try our BRRRR calculator to model a rehab scenario.

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How Fort Morgan Compares

Fort Morgan vs Colorado state average and national average across key investment metrics. Fort Morgan's cap rate is below both benchmarks — deal sourcing is critical here.

Metric
Fort Morgan
Colorado Avg
National Avg
Cap Rate
3.04%
2.75%
3.81%
Median Price
$320K
$611K
$333K
Median Rent
$1,220
$2,042
$1,524
Property Tax
0.51%
0.51%
1.08%
Vacancy
4.9%
4.9%
5.6%
Pop. Growth
1.3%/yr
1.3%/yr
0.9%/yr

Nearby West Markets

City
Cap Rate
Price
Rent
Tax
Fort Morgan, CO
3.0%
$320K
$1,220
0.51%
Gillette, WY
2.8%
$320K
$1,190
0.61%
La Grande, OR
2.7%
$320K
$1,230
0.94%
Pullman, WA
2.8%
$320K
$1,270
0.93%
Aberdeen, WA
3.5%
$315K
$1,430
0.93%

Frequently Asked Questions

Is Fort Morgan, CO a good place to invest in rental property?
Fort Morgan has an estimated cap rate of 3.04%, which is below the national average of 3.81%. With median home prices at $320K and rents of $1,220/mo, pure cash flow investing in Fort Morgan is challenging at median prices, but value-add strategies can work. Population growth of 1.3% and 4.9% vacancy rate indicate healthy tenant demand.
What is the average cap rate in Fort Morgan?
The estimated cap rate for Fort Morgan is 3.04%, based on median home prices of $320K, median rents of $1,220/mo, a 0.51% property tax rate, and 4.9% vacancy. This compares to a 2.75% average across Colorado and 3.81% nationally. Cap rates for individual properties will vary based on purchase price, actual rents, and property condition.
How much does a rental property cost in Fort Morgan?
The median home price in Fort Morgan is $320,000, which is 4% below the national average of $333,419. A 20% down payment would be approximately $64,000. Investment properties in Fort Morgan range significantly — targeting properties 15-25% below median can improve your cap rate substantially.
What are Fort Morgan property taxes for investors?
Fort Morgan's effective property tax rate is 0.51%, which is above the Colorado average of 0.51% and below the national average of 1.08%. On a $320K property, annual taxes are approximately $1,632 ($136/mo). Low property taxes are a significant cash flow advantage here.
Full Fort Morgan Analysis →Cap Rate CalculatorBRRRR Calculator

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