Metropolitan Area

Modesto, CA

California0
45
/100
Hold
#793 of 894 metros
Top 89% nationally for investing

Market Snapshot

$468,302
Median Home Price
84% above national median
$2,052/mo
Median Rent
48% above national median
5.26%
Rent-to-Price Ratio
Top 68% nationally
-$1,121
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$468,302
Down Payment (20%)$93,660
Loan Amount$374,642
Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$2,052
Monthly P&I-$2,455
Est. Expenses (35%)-$718
Net Cash Flow-$1,121/mo
3.4%
Cap Rate (all cash)
-12.5%
Cash-on-Cash Return
5.26%
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
45/100
45
Cash Flow(30%)
49/100

Based on 5.26% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)
46/100

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%)
33/100

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 (5.26%)
  • -Declining home values (-1.0% YoY)
  • -Negative cash flow at typical financing (-$1,121/mo)
  • -Negative leverage (cap rate 3.4% < mortgage rate 6.9%)

Counties in Modesto, CA

County data is being compiled for this metro area.

Compare to Similar Metros

Metro AreaVerdict
Fort Polk South, LA
Fort Polk South, LA
65$162,266$1,1538.52%BuyView
Norfolk, NE
Norfolk, NE
65$258,709$1,1825.48%BuyView
Kearney, NE
Kearney, NE
65$299,098$1,4285.73%BuyView
Mason City, IA
Mason City, IA
65$202,030$8845.25%BuyView
Ruston, LA
Ruston, LA
65$224,316$1,3287.10%BuyView
Current
Modesto, CA
45$468,302$2,0525.26%Hold

Rent vs buy in this metro

Rent vs buy in Modesto, CAMedian $458,196 · rent $2,070/mo

The Bottom Line

HoldModesto, CA is a neutral market. Consider house hacking or targeting below-market deals in specific counties.

The Modesto, CA metro area scores 45/100, ranking #793 of 894 US metros (top 89%). The 5.26% 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
$-1,121/mo
Cap Rate
3.4%
Cash-on-Cash
-14.4%

Ready to Invest in Modesto, CA?

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