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MarketsPennsylvaniaIndianaRent Analysis

Rent Analysis: Indiana, PA

Updated 2026 · Based on median market data for Indiana, PA

Cap Rate
4.08%
Median Price
$155K
Rent/Mo
$860
1% Rule
0.55%
Fails

Rent Overview

The median monthly rent in Indiana, PA is $860, translating to $10,320 in annual gross rental income per unit. The rent-to-price ratio is 0.55% — well below the 1% rule, making pure cash flow investing challenging at median prices.

Rent Affordability

Renters in Indiana spend approximately 22% of the local median household income ($47,800) on rent. This is well below the 30% threshold, suggesting significant headroom for rent increases. Tenants can afford to pay more, which is bullish for landlords.

Vacancy & Tenant Demand

The vacancy rate in Indiana is 6%. This is a healthy vacancy rate that indicates balanced supply and demand. You should be able to find quality tenants without extended vacancies, though expect normal turnover periods of 2-4 weeks between tenants. Population growth of 0.2% annually provides stable demand.

Gross Rent Multiplier

Indiana's GRM (price divided by annual rent) is 15.0x. A GRM between 12-16x is moderate and typical of balanced markets. Deals can work but you need to keep expenses controlled. For comparison, the national average GRM for investment-grade rentals is approximately 13-15x.

Rental Income Projection

At the median rent of $860/mo, a single-family rental in Indiana generates approximately $10,320 in gross annual income. After accounting for 6% vacancy ($619 lost), property taxes of $2,139, insurance (~$620), and maintenance (~$620), the estimated NOI is $6,322 per year, or $527/mo.

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How Indiana Compares

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

Metric
Indiana
Pennsylvania Avg
National Avg
Cap Rate
4.08%
3.81%
3.81%
Median Price
$155K
$244K
$333K
Median Rent
$860
$1,250
$1,524
Property Tax
1.38%
1.38%
1.08%
Vacancy
6%
6%
5.6%
Pop. Growth
0.2%/yr
0.2%/yr
0.9%/yr

Nearby Northeast Markets

City
Cap Rate
Price
Rent
Tax
Indiana, PA
4.1%
$155K
$860
1.38%
New Castle, PA
6.1%
$155K
$1,140
1.38%
Olean, NY
6.5%
$155K
$1,240
1.71%
Pottsville, PA
6.3%
$155K
$1,160
1.38%
Corning, NY
6.5%
$160K
$1,280
1.71%

Frequently Asked Questions

What is the average rent in Indiana, PA?
The median monthly rent in Indiana is $860, or $10,320 per year. This is 44% below the national average of $1,524/mo. Rent levels vary by neighborhood, property condition, and unit size — always verify comparable rents for your target property.
Is Indiana a good rental market for landlords?
With a rent-to-price ratio of 0.55%, Indiana falls below the 1% rule, meaning cash flow depends on buying below median or achieving above-median rents. The 6% vacancy rate is moderate.
How does Indiana rent compare to Pennsylvania averages?
Indiana's median rent of $860/mo is 31% below the Pennsylvania average of $1,250/mo. Home prices at $155K are below the state average of $244K, giving Indiana a rent-to-price ratio of 0.55% vs 0.51% statewide.
What is a good rent-to-price ratio?
The 1% rule says monthly rent should be at least 1% of purchase price ($1,000/mo rent on a $100,000 home). Indiana's ratio is 0.55%. Generally, above 0.8% is workable with good financing, above 1% is strong, and above 1.2% is exceptional. The national average across the 300+ cities we track is 0.46%.
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Explore Indiana & Related Markets

More Indiana Guides

Rental Property Investment GuideProperty Tax GuideCost of Living & AffordabilityAppreciation & Growth ForecastNeighborhood Investment Guide

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