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MarketsFloridaPalatka

Cap Rate Analysis: Palatka, FL

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

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

Moderate — source deals carefully
Based on $210,000 median price and $1,370/mo median rent
Est. Cap Rate
5.76%
1% Rule
0.65%
Fails
GRM
12.8x
Price / Income
4.1x

Market Data

Median Home Price$210,000
Median Monthly Rent$1,370
Property Tax Rate0.86%
Population50,000
Population Growth1.9% / yr
Median Household Income$50,639
Vacancy Rate5.2%
Annual Appreciation3.7%

Cap Rate Calculator — Palatka

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

Property Details
$
$
3–8% typical
%
Monthly Expenses
0.86% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
4.75%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$9,969
net operating income
Gross Rent Multiplier
12.8x
Good (<15)
1% Rule
0.65%
✗ Fails
Monthly Cash Flow
$831
before debt service
Annual Breakdown
Gross Rental Income$16,440
Less Vacancy−$855
Effective Income$15,585
Less Operating Expenses−$5,616
Net Operating Income$9,969
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Cash-on-Cash Return — Palatka

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

$
$52,500
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-4.73%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$58,800
$52,500 down + $6,300 closing
Monthly Mortgage
$1,027
on $158K loan
Monthly Cash Flow
$-232
after all expenses
Annual Cash Flow
$-2,781
before taxes
Cash Flow Breakdown
Monthly Rent$1,370
Less Expenses−$575
Less Mortgage−$1,027
Monthly Cash Flow$-232

Is Palatka a Good Place to Invest in Rental Property?

Palatka, FL has a population of 50,000 and has been growing at 1.9% annually — above the national average, suggesting steady demand pressure on housing. The median home price of $210,000 paired with median rents of $1,370/mo produces an estimated cap rate of 5.76%.

Property taxes at 0.86% fall within the national average range and shouldn't present unusual challenges. 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 $50,639. 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 3.7% annually. Above-average appreciation adds an equity component to total returns, though deals should still pencil on cash flow alone.

Bottom line: Palatka presents moderate opportunities. Cap rates near 5.76% mean deals need careful sourcing — look for value-add rehabs or emerging neighborhoods where rents are climbing.

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