Metropolitan Area

Lexington, KY

Kentucky0
60
/100
Buy
#519 of 894 metros
Top 58% nationally for investing

Market Snapshot

$327,671
Median Home Price
29% above national median
$1,528/mo
Median Rent
10% above national median
5.60%
Rent-to-Price Ratio
Top 56% nationally
-$724
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$327,671
Down Payment (20%)$65,534
Loan Amount$262,137
Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,528
Monthly P&I-$1,718
Est. Expenses (35%)-$535
Net Cash Flow-$725/mo
3.6%
Cap Rate (all cash)
-11.5%
Cash-on-Cash Return
5.60%
Rent-to-Price Ratio
Negative leverage: At 6.85% rates, borrowing costs exceed the 3.6% 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.

Run Full AnalysisTry House Hack Strategy

Score Breakdown

Overall Investment Score
60/100
60
Cash Flow(30%)
54/100

Based on 5.60% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)
77/100

Based on 3.0% 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%)
60/100

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

  • -Negative cash flow at typical financing (-$724/mo)
  • -Negative leverage (cap rate 3.6% < mortgage rate 6.9%)

Counties in Lexington, KY

County data is being compiled for this metro area.

Compare to Similar Metros

Metro AreaVerdict
Decatur, IL
Decatur, IL
80$126,931$9288.77%Strong BuyView
Corning, NY
Corning, NY
80$171,646$1,2939.04%Strong BuyView
Guymon, OK
Guymon, OK
80$168,571Est.Strong BuyView
Union City, TN
Union City, TN
80$166,036Est.Strong BuyView
Orangeburg, SC
Orangeburg, SC
80$163,772$1,3209.67%Strong BuyView
Current
Lexington, KY
60$327,671$1,5285.60%Buy

Rent vs buy in this metro

Rent vs buy in Lexington, KYMedian $319,672 · rent $1,613/mo

The Bottom Line

BuyLexington, KY offers solid investment potential with good cash flow or appreciation prospects.

The Lexington, KY metro area scores 60/100, ranking #519 of 894 US metros (top 58%). The 5.60% 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
$-724/mo
Cap Rate
3.6%
Cash-on-Cash
-13.3%

Ready to Invest in Lexington, KY?

Use our investment calculators to run detailed numbers on specific properties, or explore individual counties for more targeted opportunities.

Single Family1-4 unit rentalsHouse HackOwner-occupiedMultifamily5+ unit properties
Explore Other Markets