%
CapRateCity
Free cap rate calculators for every US market
← All markets

Cap Rate Analysis: Omaha, NE

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

Challenging for pure cash flow
Based on $245,000 median price and $1,280/mo median rent
Est. Cap Rate
3.49%
1% Rule
0.52%
Fails
GRM
16.0x
Price / Income
4.1x

Market Data

Median Home Price$245,000
Median Monthly Rent$1,280
Property Tax Rate1.65%
Population490,120
Population Growth0.8% / yr
Median Household Income$60,200
Vacancy Rate5.2%
Annual Appreciation2.7%

Cap Rate Calculator — Omaha

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

Property Details
$
$
3–8% typical
%
Monthly Expenses
1.65% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
2.76%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$6,773
net operating income
Gross Rent Multiplier
16.0x
High (>15)
1% Rule
0.52%
✗ Fails
Monthly Cash Flow
$564
before debt service
Annual Breakdown
Gross Rental Income$15,360
Less Vacancy−$799
Effective Income$14,561
Less Operating Expenses−$7,788
Net Operating Income$6,773

Cash-on-Cash Return — Omaha

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

$
$61,250
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-7.98%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$68,600
$61,250 down + $7,350 closing
Monthly Mortgage
$1,198
on $184K loan
Monthly Cash Flow
$-456
after all expenses
Annual Cash Flow
$-5,471
before taxes
Cash Flow Breakdown
Monthly Rent$1,280
Less Expenses−$538
Less Mortgage−$1,198
Monthly Cash Flow$-456

Is Omaha a Good Place to Invest in Rental Property?

Omaha, NE has a population of 490,120 and has been growing at 0.8% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $245,000 paired with median rents of $1,280/mo produces an estimated cap rate of 3.49%.

Property taxes at 1.65% 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 5.2% is moderate and within normal parameters for a healthy rental market.

At a price-to-income ratio of 4.1x, homes cost about 4.1 times the local median income of $60,200. This relatively affordable ratio suggests a deep pool of renters who find buying out of reach, supporting rental demand. Home values have appreciated at roughly 2.7% 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, Omaha 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.

Run a BRRRR analysis for Omaha
Model a buy-rehab-refinance deal with Omaha data pre-loaded.
Open BRRRR Calculator →