Updated October 2026. A data screen of 14 U.S. metros for rental property, built from HUD’s FY2027 Fair Market Rents, the Zillow Home Value Index (September 2026 snapshot) and the Census Bureau’s third-quarter 2026 vacancy survey, read October 30, 2026. General information, not investment advice.
There’s no single best place to buy a rental, but public data shows where rents are high compared with prices. As of October 2026, Pittsburgh, Memphis, Indianapolis, San Antonio and Tampa show gross yields of about 8% to 9% on our screen, using HUD’s FY2027 three-bedroom Fair Market Rents and Zillow’s typical home values. Atlanta and Albuquerque come in under 7%.
Jump to: 📍 The metro screen · 💲 How we did the math · 🏠 Vacancy · 🪜 Beyond the numbers · 🤝 Buying the property · ❓ FAQ
Key takeaways
- Pittsburgh had the highest gross yield on our screen: about 9.3%, from a $1,773 three-bedroom FMR and a $228,200 typical home value.
- Albuquerque (about 6.5%) and Atlanta (about 6.7%) had the lowest of the 14 metros we checked.
- The U.S. rental vacancy rate was 7.6% in the third quarter of 2026, up from 7.1% a year earlier (Census Bureau).
- Gross yield ignores taxes, insurance, repairs and vacancy, so treat it as a first filter, not a verdict.
An older version of this article picked four “best” cities based on 2021 numbers. Markets changed a lot since then. So instead of a ranking, here’s a repeatable screen using free public data, dated, so you can redo it for any metro when the numbers update.
Which metros show the highest rent compared with price?
We compared each metro’s FY2027 HUD Fair Market Rent for a three-bedroom unit with Zillow’s typical home value for September 2026. Gross yield is twelve months of rent divided by the home value.
| Metro | Typical home value (ZHVI, Sep 2026) | 3-bedroom FMR, FY2027 | Gross yield | Home value change, 1 year |
|---|---|---|---|---|
| Pittsburgh, PA | $228,200 | $1,773 | 9.3% | +0.2% |
| Memphis, TN | $242,100 | $1,717 | 8.5% | +0.1% |
| Indianapolis, IN | $291,600 | $1,991 | 8.2% | +1.0% |
| San Antonio, TX | $273,800 | $1,864 | 8.2% | -1.9% |
| Tampa, FL | $356,800 | $2,448 | 8.2% | -0.9% |
| Miami, FL* | $476,800 | $3,277 | 8.2% | +0.3% |
| Detroit, MI | $264,300 | $1,777 | 8.1% | +1.8% |
| Houston, TX | $302,800 | $2,017 | 8.0% | -1.8% |
| Birmingham, AL | $260,700 | $1,727 | 7.9% | +2.4% |
| St. Louis, MO | $273,200 | $1,731 | 7.6% | +3.3% |
| Kansas City, MO | $324,900 | $2,020 | 7.5% | +3.7% |
| Columbus, OH | $326,900 | $1,909 | 7.0% | +1.3% |
| Atlanta, GA | $375,900 | $2,099 | 6.7% | -1.5% |
| Albuquerque, NM | $348,700 | $1,902 | 6.5% | +1.5% |
*HUD’s Miami FMR area covers Miami-Dade County only, while Zillow’s Miami metro also includes Broward and Palm Beach counties, so that row is a rougher match.
Two things jump out. First, the cheapest metros aren’t automatically the best: Pittsburgh and Memphis lead on yield, but both had nearly flat home values over the year. Second, a few metros with falling values (San Antonio, Tampa, Houston) still show solid rent-to-price ratios. Whether that’s an opening or a warning depends on the neighborhood, not the metro average.
How should you read these numbers?
Each data point has limits. Know them before you lean on the table.
- HUD Fair Market Rents are set each year for the Housing Choice Voucher program and other HUD programs. They’re a public benchmark, not asking rents, so check real listings on your street. Many metros now use ZIP-code Small Area FMRs; we used the metro-wide figure for consistency.
- Zillow’s ZHVI is the typical value of all homes in the metro, not only three-bedroom houses.
- Gross yield leaves out property tax, insurance, repairs, management, vacancy and financing. Net returns are always lower, sometimes a lot lower.
The next step is a cap rate on a real address: net operating income divided by price. Casaplorer explains the real estate capitalization rate (cap rate) with a calculator you can try. Run it with actual tax bills and insurance quotes, not guesses. Investopedia’s list of tips for buying your first investment property is a good primer on rental properties and financing.
Pricing the rent right matters as much as buying right. See how to price your rental property using local comparables.
How full are rentals across the U.S.?
The Census Bureau’s Housing Vacancy Survey put the national rental vacancy rate at 7.6% in the third quarter of 2026. That’s up from 7.1% a year earlier and 7.3% in the second quarter. The homeowner vacancy rate held at 1.2%, and homeownership was 65.5%.
A rising vacancy rate means more empty units competing for tenants. In practice, that can mean longer gaps between leases or a need to cut asking rent. Budget at least a month of vacancy a year in your numbers, and more in areas with lots of new apartment building.
What should you check beyond the numbers?
A spreadsheet can’t see the street. Before you shortlist a metro, look at these:
- Jobs: more than one big employer, so one closure doesn’t empty the area.
- Landlord rules: eviction timelines, rent rules, licensing and inspections differ by state and city. Florida owners, for example, should read up on Florida landlord rights and duties.
- Insurance: in coastal Florida and Texas, premiums and flood coverage can erase a strong gross yield.
- Property tax: some states tax rentals at higher rates than owner-occupied homes.
- Distance: if you live far away, budget for a property manager.
- Local costs to close: some areas add their own fees, like the special closing fee in metro Atlanta’s FMLS.
Lifestyle data helps too, because good tenants want what owners want. Our looks at suburbs for families and why people move to Texas show what draws long-term renters. For the long game, read how to build wealth through real estate investing.
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Where to invest in rental property: questions
Which U.S. metros have the best rent-to-price ratio in 2026?
On our screen of 14 metros, Pittsburgh (about 9.3%), Memphis (8.5%) and Indianapolis, San Antonio and Tampa (about 8.2%) had the highest gross yields, using HUD FY2027 FMRs and Zillow September 2026 values.
What is a good gross yield for a rental property?
There’s no fixed number. Gross yield is only a first filter; check the net return after taxes, insurance, repairs, vacancy and financing.
What is the U.S. rental vacancy rate now?
7.6% in the third quarter of 2026, up from 7.1% a year earlier, per the Census Bureau’s Housing Vacancy Survey.
What is a Fair Market Rent?
It’s HUD’s yearly rent estimate used for housing programs like the Housing Choice Voucher program. Actual asking rents in a neighborhood can be higher or lower.
How do I calculate a cap rate?
Divide net operating income, meaning yearly rent minus operating costs but before mortgage payments, by the purchase price.
Is this investment advice?
No. It’s a screen of public data. Talk with a licensed financial or tax professional before you buy an investment property.
General information, not investment, tax or legal advice. Past values and rent levels don’t predict future results.
HUD FY2027 Fair Market Rents (metro-wide, three-bedroom), Zillow Home Value Index (all homes, September 2026 snapshot) and Census Housing Vacancy Survey (Q3 2026), as read October 30, 2026. Gross yield = 12 months of FMR divided by ZHVI.
Buyer program: no upfront fee; Beycome keeps 1% of the price, minimum $1,499; the rest of the buyer-agent commission offered is credited at closing, subject to lender approval. Not available on FSBO homes or homes listed by Beycome sellers.
Prices as of November 2026: Basic $99, Enhanced $399, Concierge $1,399; Basic is $129 in California and Illinois. “$0 at closing” means no Beycome fee at closing; other closing costs, taxes and title fees still apply. Beycome lists in 17 states and DC.
Beycome Title: Florida, Texas, Michigan, Ohio, Illinois and Indiana.
22,000+ homeowners and over $225 million saved: Beycome internal data, October 2026.
Sources
- HUD User, FY2027 Fair Market Rents, read October 30, 2026.
- Zillow Research, Home Value Index, September 2026 data, read October 2026.
- U.S. Census Bureau, Housing Vacancies and Homeownership, Q3 2026, read October 30, 2026.
- Casaplorer, Cap Rate Calculator, read October 30, 2026.
- Beycome, listing package features, October 2026.
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