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Cap Rate Analysis: Torrington, CT

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

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

Challenging for pure cash flow
Based on $405,000 median price and $1,820/mo median rent
Est. Cap Rate
2.67%
1% Rule
0.45%
Fails
GRM
18.5x
Price / Income
7.0x

Market Data

Median Home Price$405,000
Median Monthly Rent$1,820
Property Tax Rate1.63%
Population50,000
Population Growth0% / yr
Median Household Income$57,467
Vacancy Rate5.5%
Annual Appreciation2.3%

Cap Rate Calculator — Torrington

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

Property Details
$
$
3–8% typical
%
Monthly Expenses
1.63% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
2.09%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$8,483
net operating income
Gross Rent Multiplier
18.5x
High (>15)
1% Rule
0.45%
✗ Fails
Monthly Cash Flow
$707
before debt service
Annual Breakdown
Gross Rental Income$21,840
Less Vacancy−$1,201
Effective Income$20,639
Less Operating Expenses−$12,156
Net Operating Income$8,483
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Cash-on-Cash Return — Torrington

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

$
$101,250
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-9.78%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$113,400
$101,250 down + $12,150 closing
Monthly Mortgage
$1,980
on $304K loan
Monthly Cash Flow
$-924
after all expenses
Annual Cash Flow
$-11,091
before taxes
Cash Flow Breakdown
Monthly Rent$1,820
Less Expenses−$764
Less Mortgage−$1,980
Monthly Cash Flow$-924

Is Torrington a Good Place to Invest in Rental Property?

Torrington, CT has a population of 50,000 and has been growing at 0% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $405,000 paired with median rents of $1,820/mo produces an estimated cap rate of 2.67%.

Property taxes at 1.63% are notably high and represent a significant drag on cash flow — model this expense carefully, as it can make or break a deal. The vacancy rate of 5.5% is moderate and within normal parameters for a healthy rental market.

At a price-to-income ratio of 7.0x, homes cost about 7.0 times the local median income of $57,467. This elevated ratio means homeownership is stretched, supporting rental demand but limiting buyer pools. Home values have appreciated at roughly 2.3% annually. Steady appreciation means total returns will be primarily cash flow-driven — the more sustainable model for long-term wealth building.

Bottom line: At current median prices, Torrington is challenging for pure cash flow investing. Consider BRRRR strategies with below-market purchases, or look at neighboring metros with stronger price-to-rent ratios.

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