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Cap Rate Analysis: Cranston, RI

Investment metrics, interactive calculators, and data-driven analysis for Cranston rental properties.

Challenging for pure cash flow
Based on $335,000 median price and $1,550/mo median rent
Est. Cap Rate
3.03%
1% Rule
0.46%
Fails
GRM
18.0x
Price / Income
5.8x

Market Data

Median Home Price$335,000
Median Monthly Rent$1,550
Property Tax Rate1.44%
Population83,000
Population Growth0.2% / yr
Median Household Income$58,200
Vacancy Rate5%
Annual Appreciation2.7%

Cap Rate Calculator — Cranston

Pre-filled with Cranston medians. Adjust to match a specific property.

Property Details
$
$
3–8% typical
%
Monthly Expenses
1.44% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
2.43%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$8,154
net operating income
Gross Rent Multiplier
18.0x
High (>15)
1% Rule
0.46%
✗ Fails
Monthly Cash Flow
$680
before debt service
Annual Breakdown
Gross Rental Income$18,600
Less Vacancy−$930
Effective Income$17,670
Less Operating Expenses−$9,516
Net Operating Income$8,154

Cash-on-Cash Return — Cranston

Factor in financing to see your actual return on invested capital in Cranston.

$
$83,750
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-9.45%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$93,800
$83,750 down + $10,050 closing
Monthly Mortgage
$1,638
on $251K loan
Monthly Cash Flow
$-739
after all expenses
Annual Cash Flow
$-8,868
before taxes
Cash Flow Breakdown
Monthly Rent$1,550
Less Expenses−$651
Less Mortgage−$1,638
Monthly Cash Flow$-739

Is Cranston a Good Place to Invest in Rental Property?

Cranston, RI has a population of 83,000 and has been growing at 0.2% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $335,000 paired with median rents of $1,550/mo produces an estimated cap rate of 3.03%.

Property taxes at 1.44% fall within the national average range and shouldn't present unusual challenges. The vacancy rate of 5% is moderate and within normal parameters for a healthy rental market.

At a price-to-income ratio of 5.8x, homes cost about 5.8 times the local median income of $58,200. This moderate ratio indicates a balanced rent-vs-buy market. Home values have appreciated at roughly 2.7% annually. Steady appreciation means total returns will be primarily cash flow-driven — the more sustainable model for long-term wealth building.

Bottom line: At current median prices, Cranston is challenging for pure cash flow investing. Consider BRRRR strategies with below-market purchases, or look at neighboring metros with stronger price-to-rent ratios.

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