22 Wisconsin cities ranked by estimated cap rate. The average cap rate across Wisconsin markets is 1.8%, with median home prices averaging $309K and rents averaging $1,223/mo. Kenosha leads with a 4.4% cap rate at a $340K median price. Note that Wisconsin's average property tax rate of 1.88% is above the national average — factor this into your underwriting.
Wisconsin offers 22 investable rental markets tracked by CapRateCity. The state average cap rate of 1.8% is near the 3.81% national average. No cities pass the 1% rule at median prices, so value-add strategies are essential.
Prices and rents: Wisconsin home prices average $309K, which is 7% below the national average of $333K. Rents average $1,223/mo. The most affordable entry point is Marinette at $195K, while Kenosha offers the highest cap rate at 4.4%.
Taxes and costs: Property taxes average 1.88% across Wisconsin, above the 1.08% national average — investors should model tax expense carefully. Madison has the lowest rate at 1.85%.Vacancy averages 5.5%, tighter than the national average — favorable for landlords.
Growth outlook: Population growth across Wisconsin averages 0.51% per year, led by Madison at 1.2%. Home values are appreciating at 2.4% annually on average. Moderate growth provides a stable demand foundation.
Bottom line: Wisconsin is primarily an appreciation market. Cash flow investing requires below-median purchases or value-add strategies. Consider whether the growth and appreciation potential justifies tighter margins.