Hampton City

Hampton City sits at a gross rent-to-price ratio of 7.27%, which lands it solidly in the middle ground between pure cash-flow markets and pure appreciation plays. At a $279,270 purchase price and $1,691 in median monthly rent, the raw yield is workable, but the financing math at 6.85% compresses the returns quickly. The model underwrite shows a cap rate of 4.72%, which is reasonable for coastal Virginia but not the kind of spread that makes deals obvious. Cash-on-cash at -6.82% with conventional leverage tells the real story: at current rates and a 20% down payment, Hampton City does not pencil for leveraged cash flow without either a below-market acquisition, a value-add component, or a meaningful rent bump. Year-over-year home price appreciation of 2.52% is positive but modest, and the affordability index of 70 suggests the market has not been priced to inaccessibility, which limits near-term appreciation catalysts while also protecting downside.

The investor this market suits best is not the leveraged cash-flow buyer running a standard acquisition. That buyer will be fighting the numbers from day one, absorbing a modeled $365 monthly shortfall on a median-priced asset. Hampton City is more compelling for the appreciation-minded buyer with patient capital or for the value-add operator who can acquire below the $279,000 median, force equity through renovation, and either refi into better economics or sell into a market that scores 75 on appreciation. The 73 cash-flow score is relatively high for a market where the base-case underwrite is negative, which signals that selective deals exist, particularly off-market or distressed acquisitions where the entry price is materially lower than median. Investors who can manufacture a 10-15% discount on acquisition price change the cash-flow picture substantially, since the rent base at $1,691 is not the problem.

Hampton City's stability score of 50 is the flag worth examining. It is the lowest individual score in the dataset and sits well below the overall score of 67, which means the market's economic underpinnings introduce real variability in rental demand. The county is part of the Hampton Roads metropolitan area, one of the largest concentrations of military and defense infrastructure in the country. That anchor creates consistent baseline rental demand from service members and defense contractors who do not buy, rotate frequently, and generate dependable lease activity. The federal employment base also limits the severity of local recessions relative to markets tied to a single private employer or cyclical industry. At the same time, military-dependent markets carry their own concentration risk: base realignment or deployment cycles can shift vacancy meaningfully over short windows, which is likely what suppresses the stability score.

The combined monthly tax and insurance figure of $244, based on a state-average effective property tax rate of 0.82% and an insurance rate of 0.23%, is not a market-distorting cost. The propertyTaxFlag is "normal," meaning Virginia's rate structure does not punish investors the way New Jersey or Illinois would. On a $279,270 asset, annual property tax is approximately $2,290 and insurance approximately $642, both of which are already embedded in the $592 estimated monthly expense figure. One honest caveat: 0.82% is a state-average estimate from Tax Foundation 2024 data, and Hampton City's actual municipal rate may differ, so verify with the city assessor before finalizing any underwrite. Virginia's lack of an extreme tax burden is a mild tailwind but not a differentiating factor at this price point.

The concentration risk in Hampton City is real and worth naming explicitly. A market of 137,217 people with meaningful reliance on defense spending is not diversified. Regulatory risk in Virginia is moderate; the state does not have statewide rent control, and landlord-tenant law is generally investor-friendly compared to markets like California or New York, but investors should review Hampton's local ordinances given the urban independent-city structure, which can differ from surrounding counties. Demographic trends are not provided in the dataset and should not be assumed.

Against its neighbors, Hampton City's story is nuanced. Mecklenburg County offers the most striking contrast: a median home price of $212,716, median rent of $1,492, and a rent-to-price ratio of 8.42%, which is materially better than Hampton City's 7.27%. Mecklenburg also scores 70 overall versus Hampton's 67. For a pure yield-maximization investor, Mecklenburg's numbers are superior on the metrics provided. Roanoke City, at a $215,833 median price and 7.06% rent-to-price ratio, offers lower acquisition cost but slightly inferior yield relative to Hampton. Dinwiddie County at $295,196 and Botetourt County at $301,444 both sit above Hampton in price without rent data provided, making yield comparison incomplete but suggesting Hampton offers better value than both on price alone. Franklin City at $224,286 scores 70 overall, three points ahead of Hampton, but again lacks rent data for direct yield comparison. The investor who should choose Hampton City over its neighbors is one who specifically wants the defense-sector rental demand profile, the Hampton Roads liquidity and exit market, or the combination of a slightly higher yield than Roanoke with a more institutional tenant base. The investor who prioritizes raw yield above all else should look hard at Mecklenburg County before committing to Hampton.