Vernal is a mid-range market in the West with a small but investable metro of 50,000. At a 3.46% estimated cap rate, this is a appreciation-focused market where rents of $1,450/mo lag behind home prices. With a median home price of $345,000 and steady population growth supports long-term rental demand, Vernal is primarily an appreciation play that requires creative strategies to generate positive cash flow.
Market data powered by Zillow Home Value Index (ZHVI) and Zillow Observed Rent Index (ZORI) · Updated Feb 2026
Vernal's 0.4% rent-to-price ratio is well below the 1% rule. At median prices of $345,000, the $1,450/mo rent produces only $994/mo in NOI. Investors here need to target below-median properties or pursue value-add strategies to make the numbers work.
At current rates, a 20% down conventional loan ($69K at 7%) would result in approximately $-841/mo cash flow — negative at median prices. Larger down payments, seller financing, or buying 15–25% below median are strategies to turn the numbers positive.
The 19.8x gross rent multiplier and 4.3% vacancy rate position Vernal as a growth-dependent market. With annual appreciation at 2.8%, total returns (cash flow + equity growth) run approximately 6.3% before financing leverage.
Pre-filled with Vernal medians. Adjust to match a specific property.
Factor in financing to see your actual return on invested capital in Vernal.
Vernal, UT has a population of 50,000 and has been growing at 2% annually — above the national average, suggesting steady demand pressure on housing. The median home price of $345,000 paired with median rents of $1,450/mo produces an estimated cap rate of 3.46%.
Property taxes at 0.57% are well below the national average of ~1.1%, providing a meaningful cash flow advantage many investors overlook. The vacancy rate of 4.3% is impressively low, indicating tight rental supply and strong tenant demand — favorable for landlords.
At a price-to-income ratio of 6.2x, homes cost about 6.2 times the local median income of $55,575. This elevated ratio means homeownership is stretched, supporting rental demand but limiting buyer pools. Home values have appreciated at roughly 2.8% 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, Vernal 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.