Obion County

Obion County sits at a median home price of $168,303 and a median rent of $1,021, producing a gross rent-to-price ratio of 7.28%. That ratio puts it firmly in cash-flow territory on paper, though the model underwrite tells a more complicated story: at 6.85% financing with 20% down, the estimated monthly cash flow comes in at negative $218 and a cash-on-cash return of -6.76%. The cap rate of 4.73% is the more useful signal here, because it strips out financing and reflects what the asset itself yields on an unlevered basis. At under 5%, that's not a screaming cash-flow market, but the combination of a sub-$170K entry price and 7.28% year-over-year price appreciation is what pushes Obion to an overall score of 76 and a 95th-percentile national rank out of 1,000 counties. This is a market that rewards buyers who either pay cash, bring meaningful equity into the deal, or plan around appreciation rather than day-one cash flow.

The appreciation score of 93 out of 100, paired with an affordability index of 94 and a median price still under $170K, makes Obion most compelling for the value-oriented appreciation buyer who can absorb thin or slightly negative monthly returns in exchange for price momentum and low acquisition cost. The 7.28% YoY price gain is real and should be taken seriously in underwriting, but so should the negative carry at current rates. A cash buyer targeting the 4.73% cap rate unlevered will outperform the leveraged model by a wide margin, and a value-add operator who can push rents meaningfully above the $1,021 median stands to flip the cash-on-cash math. The stability score of 50 is the honest counterweight here: this is a small county of 30,670 people, and that number matters when you're thinking about exit liquidity and rent demand depth.

The $150 monthly combined tax and insurance figure is relatively light as a carrying cost, built from a state-average effective property tax rate of 0.71% and an insurance rate of 0.36%, generating $1,195 in estimated annual taxes and $606 in estimated annual insurance. That tax rate is flagged as normal, meaning it's neither a tailwind nor a meaningful drag, but the standard caveat applies: this is a state-average estimate from Tax Foundation 2024 data, and the actual Obion County or township rate may differ from that figure, so verify at the assessor before closing. At $150/month combined, the carry cost is not the problem in this underwrite; the mortgage load at 6.85% is.

No economic anchor data was provided for Obion County, so employer-specific demand drivers can't be addressed here. What the population figure of 30,670 does tell you is that this is a small rural market in western Tennessee. Rental demand in markets this size tends to be driven by a narrow set of employers or institutions, which is both a concentration risk and a reason to do ground-level due diligence on what's actually employing the renter base before committing capital. The stability score of 50 reflects that uncertainty directly.

The neighboring county comparison sharpens the case for Obion. Carroll County is the closest comp by price at $180,314 with an overall score of 63, meaning Obion delivers a meaningfully better investment profile at a lower entry point. Claiborne, Rhea, and Lincoln counties range from $228K to $266K with overall scores of 68 to 74, all worse scores at materially higher prices. Anderson County is the outlier with a $301,800 median, a $1,601 median rent, and a rent-to-price ratio of 6.36%, which is actually tighter than Obion's 7.28%, and its overall score of 62 is well below Obion's 76. An investor choosing between these markets is essentially paying 79% more for a property in Anderson County to get a weaker gross yield and a lower overall score. Obion wins on price efficiency across the entire peer set. The one reason to choose a neighbor over Obion would be if population scale and liquidity matter more to your strategy than entry price and yield, in which case Anderson County's larger market may offer better exit optionality despite the worse underwriting numbers.