Updated 2026 · Based on median market data for London, KY
The median monthly rent in London, KY is $1,130, translating to $13,560 in annual gross rental income per unit. The rent-to-price ratio is 0.73% — below the 1% rule but within a range where deals can work with good financing.
Renters in London spend approximately 26% of the local median household income ($51,300) on rent. This is within the healthy 25-30% range, indicating rent is affordable relative to local incomes. There may be room for moderate rent increases, especially for updated or well-located units.
The vacancy rate in London is 5.6%. 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 0.8% annually provides stable demand.
London's GRM (price divided by annual rent) is 11.4x. A GRM under 12x is excellent — it means you're paying less than 12 years of gross rent for the property, suggesting strong income relative to price. For comparison, the national average GRM for investment-grade rentals is approximately 13-15x.
At the median rent of $1,130/mo, a single-family rental in London generates approximately $13,560 in gross annual income. After accounting for 5.6% vacancy ($759 lost), property taxes of $1,256, insurance (~$620), and maintenance (~$620), the estimated NOI is $10,305 per year, or $859/mo.
London vs Kentucky state average and national average across key investment metrics. London outperforms both benchmarks on cap rate.