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Rental Property Investment Guide: Martinsville, VA

Updated 2026 · Based on median market data for Martinsville, VA

Cap Rate
5.76%
Median Price
$135K
Rent/Mo
$880
1% Rule
0.65%
Fails

Market Snapshot

Martinsville sits in the South with a population of 50,000 growing at 0.7% annually. The median home costs $135,000 while rents average $880/mo, producing an estimated cap rate of 5.76%. This is a moderate market that rewards careful deal sourcing.

Who Should Invest Here

Martinsville works best for experienced investors with a clear strategy — Section 8, student housing, or deep value-add rehabs. The 5.76% 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 Martinsville

Target properties priced 15-25% below the $135,000 median — around $108,000 or less. At this price point with $880/mo rents, your cap rate improves to roughly 7.6%. Factor in 0.86% property taxes ($1,161/yr), budget 5% of gross rent for maintenance, and underwrite to a 5.2% vacancy rate. On a 20% down conventional loan at 7%, monthly PITI will run approximately $915.

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

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How Martinsville Compares

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

Metric
Martinsville
Virginia Avg
National Avg
Cap Rate
5.76%
4.09%
3.81%
Median Price
$135K
$337K
$333K
Median Rent
$880
$1,631
$1,524
Property Tax
0.86%
0.86%
1.08%
Vacancy
5.2%
5.2%
5.6%
Pop. Growth
0.7%/yr
0.7%/yr
0.9%/yr

Nearby South Markets

City
Cap Rate
Price
Rent
Tax
Martinsville, VA
5.8%
$135K
$880
0.86%
Duncan, OK
6.9%
$135K
$1,030
0.88%
Wheeling, WV
6.0%
$135K
$900
0.58%
Charleston, WV
6.8%
$140K
$1,030
0.58%
Beckley, WV
6.9%
$140K
$1,050
0.58%

Frequently Asked Questions

Is Martinsville, VA a good place to invest in rental property?
Martinsville has an estimated cap rate of 5.76%, which is above the national average of 3.81%. With median home prices at $135K and rents of $880/mo, Martinsville offers strong cash flow fundamentals for rental investors. Population growth of 0.7% and 5.2% vacancy rate indicate healthy tenant demand.
What is the average cap rate in Martinsville?
The estimated cap rate for Martinsville is 5.76%, based on median home prices of $135K, median rents of $880/mo, a 0.86% property tax rate, and 5.2% vacancy. This compares to a 4.09% average across Virginia 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 Martinsville?
The median home price in Martinsville is $135,000, which is 60% below the national average of $333,419. A 20% down payment would be approximately $27,000. Investment properties in Martinsville range significantly — targeting properties 15-25% below median can improve your cap rate substantially.
What are Martinsville property taxes for investors?
Martinsville's effective property tax rate is 0.86%, which is above the Virginia average of 0.86% and below the national average of 1.08%. On a $135K property, annual taxes are approximately $1,161 ($97/mo). Property taxes are moderate and manageable.
Full Martinsville Analysis →Cap Rate CalculatorBRRRR Calculator

Explore Martinsville & Related Markets

More Martinsville Guides

Rent AnalysisProperty Tax GuideCost of Living & AffordabilityAppreciation & Growth ForecastNeighborhood Investment Guide

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