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Cap Rate Analysis: Laconia, NH

Investment metrics, interactive calculators, and data-driven analysis for Laconia rental properties.

Market data powered by Zillow Home Value Index (ZHVI) and Zillow Observed Rent Index (ZORI) · Updated Feb 2026

Challenging for pure cash flow
Based on $490,000 median price and $1,790/mo median rent
Est. Cap Rate
1.56%
1% Rule
0.37%
Fails
GRM
22.8x
Price / Income
7.2x

Market Data

Median Home Price$490,000
Median Monthly Rent$1,790
Property Tax Rate1.84%
Population50,000
Population Growth0.5% / yr
Median Household Income$67,733
Vacancy Rate4.2%
Annual Appreciation2.6%

Cap Rate Calculator — Laconia

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

Property Details
$
$
3–8% typical
%
Monthly Expenses
1.84% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
1.17%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$5,746
net operating income
Gross Rent Multiplier
22.8x
High (>15)
1% Rule
0.37%
✗ Fails
Monthly Cash Flow
$479
before debt service
Annual Breakdown
Gross Rental Income$21,480
Less Vacancy−$902
Effective Income$20,578
Less Operating Expenses−$14,832
Net Operating Income$5,746
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Cash-on-Cash Return — Laconia

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

$
$122,500
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-11.88%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$137,200
$122,500 down + $14,700 closing
Monthly Mortgage
$2,396
on $368K loan
Monthly Cash Flow
$-1,358
after all expenses
Annual Cash Flow
$-16,294
before taxes
Cash Flow Breakdown
Monthly Rent$1,790
Less Expenses−$752
Less Mortgage−$2,396
Monthly Cash Flow$-1,358

Is Laconia a Good Place to Invest in Rental Property?

Laconia, NH has a population of 50,000 and has been growing at 0.5% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $490,000 paired with median rents of $1,790/mo produces an estimated cap rate of 1.56%.

Property taxes at 1.84% are notably high and represent a significant drag on cash flow — model this expense carefully, as it can make or break a deal. 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 7.2x, homes cost about 7.2 times the local median income of $67,733. This elevated ratio means homeownership is stretched, supporting rental demand but limiting buyer pools. Home values have appreciated at roughly 2.6% annually. Steady appreciation means total returns will be primarily cash flow-driven — the more sustainable model for long-term wealth building.

Bottom line: At current median prices, Laconia is challenging for pure cash flow investing. Consider BRRRR strategies with below-market purchases, or look at neighboring metros with stronger price-to-rent ratios.

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