Metropolitan Area

Des Moines, IA

Iowa0
56
/100
Hold
#617 of 894 metros
Top 69% nationally for investing

Market Snapshot

$296,070
Median Home Price
16% above national median
$1,293/mo
Median Rent
7% below national median
5.24%
Rent-to-Price Ratio
Top 68% nationally
-$711
Est. Monthly Cash Flow
With 20% down at 6.9% rate

Price History

Median Home Price

Median Rent

Trend based on YoY growth rate. Source: Zillow ZHVI/ZORI

Quick Investment Calculator

20%
5%50%100%

Purchase

Purchase Price$296,070
Down Payment (20%)$59,214
Loan Amount$236,856
Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,293
Monthly P&I-$1,552
Est. Expenses (35%)-$453
Net Cash Flow-$712/mo
3.4%
Cap Rate (all cash)
-12.6%
Cash-on-Cash Return
5.24%
Rent-to-Price Ratio
Negative leverage: At 6.85% rates, borrowing costs exceed the 3.4% cap rate. All-cash buyers may see better returns.

* Based on metro-wide median values. 35% expenses include taxes, insurance, maintenance, vacancy, and property management. Individual counties and properties vary significantly.

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Score Breakdown

Overall Investment Score
56/100
56
Cash Flow(30%)
49/100

Based on 5.24% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)
62/100

Based on 1.0% YoY price growth. Moderate growth (3-8%) scores highest.

Stability(25%)
50/100

Based on 0.0% population growth. Growing areas indicate economic stability.

Affordability(20%)
67/100

Based on price relative to estimated local incomes.

Scores are calculated using real Zillow metro-level home value and rent data, Census population data, and economic indicators. The weighted average produces the overall investment score. This metro score represents area-wide averages; individual counties may vary significantly.

Investment Outlook

Strengths

  • +Low unemployment (0.0%)

Challenges

  • -Below-average rent-to-price ratio (5.24%)
  • -Negative cash flow at typical financing (-$711/mo)
  • -Negative leverage (cap rate 3.4% < mortgage rate 6.9%)

Counties in Des Moines, IA

County data is being compiled for this metro area.

Compare to Similar Metros

Metro AreaVerdict
Arkadelphia, AR
Arkadelphia, AR
76$165,028Est.Strong BuyView
Borger, TX
Borger, TX
76$125,351$1,0009.57%Strong BuyView
Marietta, OH
Marietta, OH
76$187,264$1,2508.01%Strong BuyView
Fremont, OH
Fremont, OH
76$190,301Est.Strong BuyView
Bartlesville, OK
Bartlesville, OK
76$184,820$1,2107.86%Strong BuyView
Current
Des Moines, IA
56$296,070$1,2935.24%Hold

Rent vs buy in this metro

Rent vs buy in Des Moines, IAMedian $274,734 · rent $1,209/mo

The Bottom Line

HoldDes Moines, IA is a neutral market. Consider house hacking or targeting below-market deals in specific counties.

The Des Moines, IA metro area scores 56/100, ranking #617 of 894 US metros (top 69%). The 5.24% rent-to-price ratio may require targeting specific counties or creative strategies for positive cash flow. Current metro-wide averages make traditional buy-and-hold investing challenging. Consider house hacking, value-add strategies, or drilling down to specific counties.

Monthly Cash Flow
$-711/mo
Cap Rate
3.4%
Cash-on-Cash
-14.4%

Ready to Invest in Des Moines, IA?

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