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MarketsArkansasSearcy

Cap Rate Analysis: Searcy, AR

Investment metrics, interactive calculators, and data-driven analysis for Searcy 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 $205,000 median price and $1,010/mo median rent
Est. Cap Rate
4.15%
1% Rule
0.49%
Fails
GRM
16.9x
Price / Income
4.4x

Market Data

Median Home Price$205,000
Median Monthly Rent$1,010
Property Tax Rate0.61%
Population50,000
Population Growth0.9% / yr
Median Household Income$46,400
Vacancy Rate6%
Annual Appreciation2.5%

Cap Rate Calculator — Searcy

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

Property Details
$
$
3–8% typical
%
Monthly Expenses
0.61% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
3.49%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$7,145
net operating income
Gross Rent Multiplier
16.9x
High (>15)
1% Rule
0.49%
✗ Fails
Monthly Cash Flow
$595
before debt service
Annual Breakdown
Gross Rental Income$12,120
Less Vacancy−$727
Effective Income$11,393
Less Operating Expenses−$4,248
Net Operating Income$7,145
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Cash-on-Cash Return — Searcy

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

$
$51,250
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-8.70%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$57,400
$51,250 down + $6,150 closing
Monthly Mortgage
$1,002
on $154K loan
Monthly Cash Flow
$-416
after all expenses
Annual Cash Flow
$-4,996
before taxes
Cash Flow Breakdown
Monthly Rent$1,010
Less Expenses−$424
Less Mortgage−$1,002
Monthly Cash Flow$-416

Is Searcy a Good Place to Invest in Rental Property?

Searcy, AR has a population of 50,000 and has been growing at 0.9% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $205,000 paired with median rents of $1,010/mo produces an estimated cap rate of 4.15%.

Property taxes at 0.61% are well below the national average of ~1.1%, providing a meaningful cash flow advantage many investors overlook. The vacancy rate of 6% is moderate and within normal parameters for a healthy rental market.

At a price-to-income ratio of 4.4x, homes cost about 4.4 times the local median income of $46,400. 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 2.5% annually. Steady appreciation means total returns will be primarily cash flow-driven — the more sustainable model for long-term wealth building.

Bottom line: Searcy presents moderate opportunities. Cap rates near 4.15% mean deals need careful sourcing — look for value-add rehabs or emerging neighborhoods where rents are climbing.

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