%
CapRateCity
Free cap rate calculators for every US market
MarketsOhioSalemRent Analysis

Rent Analysis: Salem, OH

Updated 2026 · Based on median market data for Salem, OH

Cap Rate
5.35%
Median Price
$155K
Rent/Mo
$1,070
1% Rule
0.69%
Fails

Rent Overview

The median monthly rent in Salem, OH is $1,070, translating to $12,840 in annual gross rental income per unit. The rent-to-price ratio is 0.69% — well below the 1% rule, making pure cash flow investing challenging at median prices.

Rent Affordability

Renters in Salem spend approximately 27% of the local median household income ($47,711) 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.

Vacancy & Tenant Demand

The vacancy rate in Salem is 6.7%. 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 0.2% annually provides stable demand.

Gross Rent Multiplier

Salem's GRM (price divided by annual rent) is 12.1x. A GRM between 12-16x is moderate and typical of balanced markets. Deals can work but you need to keep expenses controlled. For comparison, the national average GRM for investment-grade rentals is approximately 13-15x.

Rental Income Projection

At the median rent of $1,070/mo, a single-family rental in Salem generates approximately $12,840 in gross annual income. After accounting for 6.7% vacancy ($860 lost), property taxes of $2,449, insurance (~$620), and maintenance (~$620), the estimated NOI is $8,291 per year, or $691/mo.

Sponsored · Want to analyze a specific property? DealCheck imports real listing data and runs the full analysis for you.
Try Free →

How Salem Compares

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

Metric
Salem
Ohio Avg
National Avg
Cap Rate
5.35%
3.65%
3.81%
Median Price
$155K
$218K
$333K
Median Rent
$1,070
$1,149
$1,524
Property Tax
1.58%
1.58%
1.08%
Vacancy
6.7%
6.7%
5.6%
Pop. Growth
0.2%/yr
0.2%/yr
0.9%/yr

Nearby Midwest Markets

City
Cap Rate
Price
Rent
Tax
Salem, OH
5.3%
$155K
$1,070
1.58%
Connersville, IN
4.2%
$155K
$800
0.84%
Cambridge, OH
4.8%
$160K
$1,020
1.58%
Carbondale, IL
3.6%
$150K
$860
2.06%
Freeport, IL
3.5%
$150K
$850
2.06%

Frequently Asked Questions

What is the average rent in Salem, OH?
The median monthly rent in Salem is $1,070, or $12,840 per year. This is 30% below the national average of $1,524/mo. Rent levels vary by neighborhood, property condition, and unit size — always verify comparable rents for your target property.
Is Salem a good rental market for landlords?
With a rent-to-price ratio of 0.69%, Salem falls below the 1% rule, meaning cash flow depends on buying below median or achieving above-median rents. The 6.7% vacancy rate is moderate.
How does Salem rent compare to Ohio averages?
Salem's median rent of $1,070/mo is 7% below the Ohio average of $1,149/mo. Home prices at $155K are below the state average of $218K, giving Salem a rent-to-price ratio of 0.69% vs 0.53% statewide.
What is a good rent-to-price ratio?
The 1% rule says monthly rent should be at least 1% of purchase price ($1,000/mo rent on a $100,000 home). Salem's ratio is 0.69%. Generally, above 0.8% is workable with good financing, above 1% is strong, and above 1.2% is exceptional. The national average across the 300+ cities we track is 0.46%.
Full Salem Analysis →Cap Rate CalculatorBRRRR Calculator

Explore Salem & Related Markets

More Salem Guides

Rental Property Investment GuideProperty Tax GuideCost of Living & AffordabilityAppreciation & Growth ForecastNeighborhood Investment Guide

Similar Markets in the Midwest

South Bend, IN$225K · $1,390/mo
5.3%
Terre Haute, IN$160K · $970/mo
5.2%
Great Bend, KS$120K · $810/mo
5.5%
Jacksonville, IL$125K · $890/mo
5.2%
Muncie, IN$165K · $980/mo
5.1%
The CapRateCity Report
Weekly market analysis: highest cap rate cities, emerging markets, and deal breakdowns. Free, no spam.