Is the Pensacola, FL metro area good for real estate investing?

The Pensacola, FL metropolitan area has an investment score of 60/100, rated as "Buy". It ranks #519 nationally among 894 metro areas analyzed.

What is the rent-to-price ratio in Pensacola, FL?

The rent-to-price ratio in the Pensacola, FL metro area is 6.82% annually, which ranks in the 72th percentile nationally. Higher ratios indicate better cash flow potential.

What is the median home price in Pensacola, FL?

The median home price in the Pensacola, FL metro area is $310,470. The metro area includes 0 counties with prices ranging from the most affordable to more premium markets.

Can you cash flow on rental properties in Pensacola, FL?

Based on median values with 20% down at current rates, a typical rental in the Pensacola, FL metro would generate negative cash flow of $481/month. Individual property and county performance varies. Explore the county-level analysis for more specific opportunities.

Metropolitan Area

Pensacola, FL

Florida0

/100

Buy

#519 of 894 metros

Top 58% nationally for investing

Market Snapshot

$310,470

Median Home Price

22% above national median

$1,765/mo

Median Rent

27% above national median

6.82%

Rent-to-Price Ratio

Top 28% nationally

-$481

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

Down Payment20%

5%50%100%

Purchase

Purchase Price$310,470

Down Payment (20%)$62,094

Loan Amount$248,376

Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,765

Monthly P&I-$1,628

Est. Expenses (35%)-$618

Net Cash Flow-$481/mo

4.4%

Cap Rate (all cash)

-8.1%

Cash-on-Cash Return

6.82%

Rent-to-Price Ratio

Negative leverage: At 6.85% rates, borrowing costs exceed the 4.4% 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

60/100

Cash Flow(30%)

68/100

Based on 6.82% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)

57/100

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%)

63/100

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

+Above-average rent-to-price ratio (6.82%)
+Low unemployment (0.0%)

Challenges

-Negative cash flow at typical financing (-$481/mo)
-Negative leverage (cap rate 4.4% < mortgage rate 6.9%)

Counties in Pensacola, FL

County data is being compiled for this metro area.

Compare to Similar Metros

Metro Area					Verdict
Decatur, IL Decatur, IL	80	$126,931	$928	8.77%	Strong Buy	View
Corning, NY Corning, NY	80	$171,646	$1,293	9.04%	Strong Buy	View
Guymon, OK Guymon, OK	80	$168,571	Est.		Strong Buy	View
Union City, TN Union City, TN	80	$166,036	Est.		Strong Buy	View
Orangeburg, SC Orangeburg, SC	80	$163,772	$1,320	9.67%	Strong Buy	View
Current Pensacola, FL	60	$310,470	$1,765	6.82%	Buy

The Bottom Line

BuyPensacola, FL offers solid investment potential with good cash flow or appreciation prospects.

The Pensacola, FL metro area scores 60/100, ranking #519 of 894 US metros (top 58%). The 6.82% rent-to-price ratio indicates moderate cash flow potential. 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

$-481/mo

Cap Rate

4.4%

Cash-on-Cash

-9.3%

Ready to Invest in Pensacola, FL?

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

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