Idaho Rental Portfolio Guide
What you need to know before building or growing a rental portfolio in Idaho — property tax burden, state income tax, security-deposit rule, source-of-income law, and the metros that actually cash-flow after accounting for local taxes.
Tax burden on Idaho rentals
Property tax
0.67%
effective rate on median home value
At 0.67% effective, the property tax burden sits in the lower half nationally (rank 14 of 51). Modest annual carrying cost keeps cash flow projections realistic on median-priced homes.
State income tax
5.80%
top marginal rate
A top marginal rate of 5.80% is moderate. Portfolio income above the federal deduction stack still faces this rate on top of federal, so tax-optimized holding structures (installment sales, 1031s, cost-segregation) matter more here than in no-tax states.
Security deposit rule
No statutory cap on security deposits. Landlords set the deposit at whatever the market accepts — typically one to two months' rent, sometimes more for higher-risk applicants or pets. Local ordinances may still apply.
Deposit rules change; verify current statute before drafting a lease.
Best cash-flow markets in Idaho
Modeled monthly cash flow on a median-priced single-family purchase at 20% down, 30-year fixed, using Idaho’s 0.67% effective property tax rate plus 25% of rent for insurance, maintenance, vacancy and management.
| Market | Median price | Median rent | Annual property tax | CF / month |
|---|---|---|---|---|
| Burley, ID | $338,129 | $1,406 | $2,265 | $-907 |
| Twin Falls, ID | $386,550 | $1,592 | $2,590 | $-1,048 |
| Mountain Home, ID | $360,998 | $1,362 | $2,419 | $-1,072 |
| Lewiston, ID | $376,787 | $1,299 | $2,524 | $-1,211 |
| Pocatello, ID | $354,583 | $1,081 | $2,376 | $-1,246 |
| Idaho Falls, ID | $413,631 | $1,430 | $2,771 | $-1,327 |
State median across the metros: $413,631 home, $1,406 rent, $-1,441/mo modeled cash flow.
Track your Idaho rental portfolio
The Pro Portfolio Tracker rolls up every property in your portfolio, auto-revalues them monthly against local price data, and flags DSCR risk and equity milestones. Each Idaho property carries the state-specific tax burden shown above through to the cash flow calculation.
Property tax rate: Tax Foundation. Security deposit rule: state statute. Verify current law before making decisions — statutes change and this page is a planning reference, not legal or tax advice.