Updated 2026 · Based on median market data for Kokomo, IN
The median monthly rent in Kokomo, IN is $1,010, translating to $12,120 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.
Renters in Kokomo spend approximately 20% of the local median household income ($60,888) 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.
The vacancy rate in Kokomo is 5.5%. 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 0.9% annually provides stable demand.
Kokomo's GRM (price divided by annual rent) is 15.3x. 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.
At the median rent of $1,010/mo, a single-family rental in Kokomo generates approximately $12,120 in gross annual income. After accounting for 5.5% vacancy ($667 lost), property taxes of $1,554, insurance (~$740), and maintenance (~$740), the estimated NOI is $8,419 per year, or $702/mo.
Kokomo vs Indiana state average and national average across key investment metrics. Kokomo outperforms both benchmarks on cap rate.