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Market MapProvidence, RI
Metropolitan Area

Providence, RI

Rhode Island0
51
/100
Hold
#692 of 894 metros
Top 77% nationally for investing

Market Snapshot

$498,503
Median Home Price
104% above national median
$2,119/mo
Median Rent
53% above national median
5.10%
Rent-to-Price Ratio
Top 72% nationally
-$1,236
Est. Monthly Cash Flow
With 20% down at 6.9% rate

Price History

Trend based on YoY growth rate. Source: Zillow ZHVI/ZORI

Quick Investment Calculator

20%
5%50%100%

Purchase

Purchase Price$498,503
Down Payment (20%)$99,701
Loan Amount$398,802
Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$2,119
Monthly P&I-$2,613
Est. Expenses (35%)-$742
Net Cash Flow-$1,237/mo
3.3%
Cap Rate (all cash)
-12.9%
Cash-on-Cash Return
5.10%
Rent-to-Price Ratio
Negative leverage: At 6.85% rates, borrowing costs exceed the 3.3% cap rate. All-cash buyers may see better returns.

* Based on metro-wide median values. 35% expenses include taxes, insurance, maintenance, vacancy, and property management. Individual counties and properties vary significantly.

Run Full AnalysisTry House Hack Strategy

Score Breakdown

Overall Investment Score
51/100
51
Cash Flow(30%)
47/100

Based on 5.10% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)
75/100

Based on 3.0% YoY price growth. Moderate growth (3-8%) scores highest.

Stability(25%)
50/100

Based on 0.0% population growth. Growing areas indicate economic stability.

Affordability(20%)
29/100

Based on price relative to estimated local incomes.

Scores are calculated using real Zillow metro-level home value and rent data, Census population data, and economic indicators. The weighted average produces the overall investment score. This metro score represents area-wide averages; individual counties may vary significantly.

Investment Outlook

Strengths

  • +Low unemployment (0.0%)

Challenges

  • -Below-average rent-to-price ratio (5.10%)
  • -Negative cash flow at typical financing (-$1,236/mo)
  • -Negative leverage (cap rate 3.3% < mortgage rate 6.9%)
  • -High price-to-income ratio makes financing challenging

Counties in Providence, RI

County data is being compiled for this metro area.

Compare to Similar Metros

Metro AreaVerdict
Montgomery, AL
Montgomery, AL
71$203,530$1,3457.93%BuyView
Columbus, GA
Columbus, GA
71$200,025$1,3067.84%BuyView
Scranton, PA
Scranton, PA
71$219,797$1,3117.16%BuyView
Canton, OH
Canton, OH
71$207,064$1,1196.48%BuyView
South Bend, IN
South Bend, IN
71$221,335$1,3337.23%BuyView
Current
Providence, RI
51$498,503$2,1195.10%Hold

The Bottom Line

HoldProvidence, RI is a neutral market. Consider house hacking or targeting below-market deals in specific counties.

The Providence, RI metro area scores 51/100, ranking #692 of 894 US metros (top 77%). The 5.10% rent-to-price ratio may require targeting specific counties or creative strategies for positive cash flow. Current metro-wide averages make traditional buy-and-hold investing challenging. Consider house hacking, value-add strategies, or drilling down to specific counties.

Monthly Cash Flow
$-1,236/mo
Cap Rate
3.3%
Cash-on-Cash
-14.9%

Ready to Invest in Providence, RI?

Use our investment calculators to run detailed numbers on specific properties, or explore individual counties for more targeted opportunities.

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