2 Delaware cities ranked by estimated cap rate. The average cap rate across Delaware markets is 4.1%, with median home prices averaging $370K and rents averaging $1,775/mo. Wilmington leads with a 4.2% cap rate at a $375K median price. Delaware's low average property tax rate of 0.56% gives investors a significant cash flow advantage.
Delaware offers 2 investable rental markets tracked by CapRateCity. The state average cap rate of 4.1% is above the 3.81% national average, making Delaware an attractive state for cash flow investors. No cities pass the 1% rule at median prices, so value-add strategies are essential.
Prices and rents: Delaware home prices average $370K, which is 11% above the national average of $333K. Rents average $1,775/mo. The most affordable entry point is Dover at $365K, while Wilmington offers the highest cap rate at 4.2%.
Taxes and costs: Property taxes average 0.56% across Delaware, below the 1.08% national average — a meaningful cash flow advantage that adds roughly $1,943 per year to NOI on an average-priced property. Dover has the lowest rate at 0.55%.Vacancy averages 5.8%, in line with national norms.
Growth outlook: Population growth across Delaware averages 0.35% per year, led by Dover at 0.5%. Home values are appreciating at 2.4% annually on average. Moderate growth provides a stable demand foundation.
Bottom line: Delaware offers moderate opportunities for rental investors. The best deals are in cities at the top of the ranking — use the calculators on each city page to model specific properties.