Updated 2026 · Based on median market data for Ocean City, NJ
The median monthly rent in Ocean City, NJ is $2,200, translating to $26,400 in annual gross rental income per unit. The rent-to-price ratio is 0.29% — well below the 1% rule, making pure cash flow investing challenging at median prices.
Renters in Ocean City spend approximately 54% of the local median household income ($48,543) on rent. This exceeds the standard 30% affordability threshold, suggesting rent growth may face resistance — but it also means a large portion of the population finds buying even more out of reach, supporting rental demand.
The vacancy rate in Ocean City is 5.8%. 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 0.3% annually provides stable demand.
Ocean City's GRM (price divided by annual rent) is 29.0x. A GRM above 16x means the property is expensive relative to its income. Investors here are typically betting on appreciation rather than current cash flow. For comparison, the national average GRM for investment-grade rentals is approximately 13-15x.
At the median rent of $2,200/mo, a single-family rental in Ocean City generates approximately $26,400 in gross annual income. After accounting for 5.8% vacancy ($1,531 lost), property taxes of $16,677, insurance (~$3,060), and maintenance (~$3,060), the estimated NOI is $2,072 per year, or $173/mo.
Ocean City vs New Jersey state average and national average across key investment metrics. Ocean City's cap rate is below both benchmarks — deal sourcing is critical here.