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Cap Rate Analysis: Eugene, OR

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

Challenging for pure cash flow
Based on $380,000 median price and $1,520/mo median rent
Est. Cap Rate
2.79%
1% Rule
0.40%
Fails
GRM
20.8x
Price / Income
7.8x

Market Data

Median Home Price$380,000
Median Monthly Rent$1,520
Property Tax Rate0.98%
Population178,320
Population Growth0.6% / yr
Median Household Income$48,600
Vacancy Rate4.8%
Annual Appreciation2.4%

Cap Rate Calculator — Eugene

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

Property Details
$
$
3–8% typical
%
Monthly Expenses
0.98% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
2.32%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$8,832
net operating income
Gross Rent Multiplier
20.8x
High (>15)
1% Rule
0.40%
✗ Fails
Monthly Cash Flow
$736
before debt service
Annual Breakdown
Gross Rental Income$18,240
Less Vacancy−$876
Effective Income$17,364
Less Operating Expenses−$8,532
Net Operating Income$8,832

Cash-on-Cash Return — Eugene

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

$
$95,000
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-11.01%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$106,400
$95,000 down + $11,400 closing
Monthly Mortgage
$1,858
on $285K loan
Monthly Cash Flow
$-976
after all expenses
Annual Cash Flow
$-11,712
before taxes
Cash Flow Breakdown
Monthly Rent$1,520
Less Expenses−$638
Less Mortgage−$1,858
Monthly Cash Flow$-976

Is Eugene a Good Place to Invest in Rental Property?

Eugene, OR has a population of 178,320 and has been growing at 0.6% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $380,000 paired with median rents of $1,520/mo produces an estimated cap rate of 2.79%.

Property taxes at 0.98% fall within the national average range and shouldn't present unusual challenges. The vacancy rate of 4.8% is impressively low, indicating tight rental supply and strong tenant demand — favorable for landlords.

At a price-to-income ratio of 7.8x, homes cost about 7.8 times the local median income of $48,600. This elevated ratio means homeownership is stretched, supporting rental demand but limiting buyer pools. Home values have appreciated at roughly 2.4% 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, Eugene 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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