California counties ranked by cap rate
| # | Market | Cap rate | Median price | Median rent | Cash flow | Analyze |
|---|---|---|---|---|---|---|
| 1 | Lake County, CA | 4.5% | $301,548 | $1,736 | -$542 | Run numbers |
| 2 | Siskiyou County, CA | 4.5% | $281,544 | $1,607 | -$515 | Run numbers |
| 3 | Kings County, CA | 4.2% | $363,953 | $1,937 | -$757 | Run numbers |
| 4 | Yuba County, CA | 4.0% | $415,272 | $2,114 | -$926 | Run numbers |
| 5 | Fresno County, CA | 4.0% | $404,056 | $2,052 | -$904 | Run numbers |
| 6 | Kern County, CA | 4.0% | $360,205 | $1,822 | -$811 | Run numbers |
| 7 | Madera County, CA | 4.0% | $421,927 | $2,135 | -$949 | Run numbers |
| 8 | Merced County, CA | 3.9% | $413,640 | $2,059 | -$953 | Run numbers |
| 9 | Tehama County, CA | 3.8% | $315,084 | $1,533 | -$749 | Run numbers |
| 10 | Tulare County, CA | 3.8% | $360,861 | $1,734 | -$872 | Run numbers |
| 11 | Amador County, CA | 3.7% | $415,589 | $1,989 | -$1,009 | Run numbers |
| 12 | Nevada County, CA | 3.7% | $610,265 | $2,912 | -$1,487 | Run numbers |
| 13 | Imperial County, CA | 3.7% | $382,001 | $1,803 | -$944 | Run numbers |
| 14 | San Joaquin County, CA | 3.6% | $519,776 | $2,431 | -$1,299 | Run numbers |
| 15 | Sutter County, CA | 3.6% | $432,267 | $1,976 | -$1,110 | Run numbers |
| 16 | San Bernardino County, CA | 3.5% | $548,565 | $2,479 | -$1,427 | Run numbers |
| 17 | Stanislaus County, CA | 3.5% | $461,114 | $2,068 | -$1,210 | Run numbers |
| 18 | Shasta County, CA | 3.5% | $367,699 | $1,652 | -$963 | Run numbers |
| 19 | Solano County, CA | 3.4% | $571,152 | $2,464 | -$1,562 | Run numbers |
| 20 | Riverside County, CA | 3.4% | $602,790 | $2,585 | -$1,659 | Run numbers |
| 21 | Sacramento County, CA | 3.3% | $521,128 | $2,170 | -$1,476 | Run numbers |
| 22 | Mono County, CA | 3.1% | $765,344 | $3,064 | -$2,248 | Run numbers |
| 23 | Humboldt County, CA | 3.1% | $412,733 | $1,638 | -$1,221 | Run numbers |
| 24 | Tuolumne County, CA | 3.1% | $385,440 | $1,533 | -$1,139 | Run numbers |
| 25 | Mendocino County, CA | 3.1% | $480,674 | $1,903 | -$1,425 | Run numbers |
| 26 | Butte County, CA | 3.1% | $394,052 | $1,549 | -$1,176 | Run numbers |
| 27 | El Dorado County, CA | 3.0% | $648,637 | $2,498 | -$1,969 | Run numbers |
| 28 | Contra Costa County, CA | 3.0% | $768,394 | $2,902 | -$2,370 | Run numbers |
| 29 | Placer County, CA | 2.9% | $684,800 | $2,565 | -$2,126 | Run numbers |
| 30 | Yolo County, CA | 2.9% | $612,563 | $2,291 | -$1,904 | Run numbers |
| 31 | San Benito County, CA | 2.9% | $763,020 | $2,859 | -$2,368 | Run numbers |
| 32 | Sonoma County, CA | 2.7% | $782,980 | $2,666 | -$2,604 | Run numbers |
| 33 | Glenn County, CA | 2.7% | $370,343 | $1,261 | -$1,232 | Run numbers |
| 34 | Ventura County, CA | 2.6% | $869,794 | $2,955 | -$2,897 | Run numbers |
| 35 | Napa County, CA | 2.6% | $869,491 | $2,906 | -$2,927 | Run numbers |
| 36 | San Francisco County, CA | 2.6% | $1,441,170 | $4,784 | -$4,873 | Run numbers |
| 37 | Santa Barbara County, CA | 2.6% | $988,595 | $3,279 | -$3,345 | Run numbers |
| 38 | Monterey County, CA | 2.6% | $841,129 | $2,771 | -$2,858 | Run numbers |
| 39 | Los Angeles County, CA | 2.5% | $871,674 | $2,806 | -$3,004 | Run numbers |
| 40 | San Diego County, CA | 2.5% | $926,979 | $2,967 | -$3,206 | Run numbers |
| 41 | San Luis Obispo County, CA | 2.4% | $897,661 | $2,802 | -$3,151 | Run numbers |
| 42 | Santa Cruz County, CA | 2.4% | $1,136,188 | $3,469 | -$4,038 | Run numbers |
| 43 | Alameda County, CA | 2.2% | $1,044,951 | $2,956 | -$3,867 | Run numbers |
| 44 | Orange County, CA | 2.2% | $1,174,873 | $3,251 | -$4,395 | Run numbers |
| 45 | Marin County, CA | 2.0% | $1,484,731 | $3,865 | -$5,712 | Run numbers |
| 46 | San Mateo County, CA | 2.0% | $1,579,058 | $3,993 | -$6,151 | Run numbers |
| 47 | Santa Clara County, CA | 1.9% | $1,562,682 | $3,817 | -$6,175 | Run numbers |
Looking for every county in the state, including those without rent data? Browse the full California market directory.
How this ranking is calculated
We scored 47 counties in California and ranked them by capitalization rate, calculated as annual net operating income divided by median home price. Markets without both a median home price and a median rent are excluded, because cash flow cannot be estimated without both.
Every figure assumes a median-priced home rented at the local median rent, financed with 20 percent down on a 30-year loan at 7.40%, with closing costs at 3 percent of price and operating costs at 35 percent of rent. Operating costs cover taxes, insurance, maintenance, vacancy, and management.
These are modeled estimates for comparing markets, not quotes on a specific property. A real deal turns on the individual property, its condition, and the actual rent it can command. Run any market that interests you through the calculator with real numbers before you make an offer.
National rankings
Compare California against the rest of the country.
Best Cash Flow Markets for Rental Property
US counties ranked by estimated monthly cash flow on a median-priced rental, after mortgage and operating costs.
Highest Cap Rate Markets for Rental Property
US counties ranked by estimated cap rate on a median-priced rental, using local median rent and a 35 percent operating cost assumption.
Best Rental Markets Under $200,000
US counties with a median home price under $200,000, ranked by estimated cap rate on a median-priced rental.
Cheapest Markets With Positive Cash Flow
The lowest-priced US counties where a median-priced rental still covers its mortgage and operating costs.
Best Appreciation Markets for Real Estate Investors
US counties ranked by appreciation score, blending recent home price growth with the risk of an overheated market.
Best Overall Real Estate Markets to Invest In
US counties ranked by overall investment score, blending cash flow, appreciation, stability, and affordability.
Other states
States with fewer than 5 counties reporting both price and rent are omitted, because a ranking that short would not be meaningful.