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Ocala vs Palm Bay for Rental Property Investing

Side-by-side comparison of Ocala, FL and Palm Bay, FL — cap rates, rent, prices, and investment metrics.

Ocala wins 5–2 across key metrics
Ocala leads on cash flow (4.30% vs 3.79% cap rate)
Metric
Ocala, FL
Palm Bay, FL
Est. Cap Rate
4.30%
3.79%
Median Home Price
$245,000
$295,000
Median Monthly Rent
$1,280
$1,420
1% Rule
0.52%
0.48%
GRM
16.0x
17.3x
Price / Income
6.1x
5.6x
Property Tax Rate
0.82%
0.88%
Vacancy Rate
5.6%
5.3%
Population Growth
2.4% / yr
2.2% / yr
Annual Appreciation
3.4%
3.6%
Population
68,800
121,700
Median Income
$40,200
$52,400

Ocala vs Palm Bay: Which Is Better for Investors?

Cash flow: Ocala has the edge with an estimated cap rate of 4.30% compared to Palm Bay's 3.79%. Neither city passes the 1% rule outright, so deal sourcing and value-add strategies become more important. Median home prices are $245,000 in Ocala vs $295,000 in Palm Bay, while rents come in at $1,280/mo and $1,420/mo respectively.

Growth & appreciation: Ocala is growing faster at 2.4% annually vs Palm Bay's 2.2%. Palm Bay leads on home value appreciation at 3.6% per year. Strong population growth typically translates to sustained rental demand and long-term price support.

Costs & risk: Property taxes are 0.82% in Ocala vs 0.88% in Palm Bay. Vacancy rates of 5.6% and 5.3% are both healthy, suggesting strong tenant demand in both markets.

Bottom line: Ocala edges out Palm Bay on most key metrics. While cap rates are moderate at 4.30%, Ocala's overall profile is stronger. Use our free calculators to model specific deals in Ocala or Palm Bay.

Ocala, FL
4.30% cap rate · $245,000 median · $1,280/mo
Full analysis →
Palm Bay, FL
3.79% cap rate · $295,000 median · $1,420/mo
Full analysis →
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