Updated weekly · Jun 19, 2026

Which U.S. rental markets actually cash-flow in 2026?

At 6.80% financing, just 4 of 18 tracked metros clear the 1.2 lender DSCR line, led by Cleveland. The Investor Yield Index fuses cap rate, gross yield, DSCR, and cash-on-cash into one weekly score so you can rank markets, then run the calculators on your exact deal.

Run the DSCR calculator → See strongest markets

30-yr mortgage

6.80%

DSCR loan

7.75%

Hard money

11.50%

Data source

Live Jun 19, 2026

Investor Yield Index, top markets this week

Scored 0 to 100 at a prevailing 6.80% financing rate, with 25% down and a 40% expense load. Under these assumptions 4 of 18 tracked metros clear the 1.2 lender DSCR line and 6 run a positive cash-on-cash return, while the pricier metros stay negative. The leader sits near 1.22 DSCR today. On a borderline market, a larger down payment or a rate buydown is what tips it positive. See the full ranking →

#	Metro	Median price	Rent/mo	Cap rate	DSCR	Cash-on-cash	Index	Grade
1	Cleveland, OH Greater Cleveland	$146,863	$1,461	7.16%	1.22	4.6%	100	A
2	Memphis, TN Memphis metro	$124,349	$1,441	8.34%	1.42	8.8%	100	A
3	Birmingham, AL Birmingham-Hoover	$122,274	$1,448	8.53%	1.45	9.5%	100	A
4	Chicago, IL Chicagoland	$226,376	$2,266	7.21%	1.23	4.8%	100	A
5	Tampa, FL Tampa-St. Petersburg	$236,141	$2,018	6.15%	1.05	1.0%	89	A
6	Indianapolis, IN Indianapolis-Carmel	$186,505	$1,553	6.00%	1.02	0.5%	85	A

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Investor calculators

DSCR loan calculator

DSCR ≥ 1.2

Will your rental qualify at today’s DSCR rates?

Cap rate calculator

NOI ÷ price

Unlevered return from NOI and value.

Investment property calculator

Full deal

Cap rate, DSCR, cash-on-cash, GRM, 1% rule.

Cash-on-cash return

Levered yield

Yield on the cash you actually put in.

GRM calculator

Price ÷ rent

Gross rent multiplier in seconds.

Market rankings

18 metros

The Investor Yield Index, week by week.

Loan types for investors

DSCR Loan

No-income-verification investment financing where the property’s rent covers the debt.

Typical rate 7.0–8.5%

Hard Money Loan

Short-term, asset-based financing for fast closes and distressed property purchases.

Typical rate 10.0–13.0%

Fix & Flip Loan

Short-term capital for purchase + rehab, repaid on resale. Fast funding for value-add deals.

Typical rate 10.5–13.5%

How DSCR qualification works

1 · Net operating income

Start with gross annual rent, then subtract operating expenses (taxes, insurance, management, maintenance, vacancy), not the mortgage.

2 · Annual debt service

Compute principal + interest for the year on the DSCR loan amount at the lender’s rate and amortization.

3 · DSCR = NOI ÷ debt

Lenders want DSCR ≥ 1.2. At or above that, the rent covers the debt with margin to spare. Below 1.0 the property cannot cover its own payment.

The 2026 reality. At 6.80% financing with a 40% expense load, 4 of the 18 tracked metros clear the 1.2 lender line, led by Cleveland at 1.22 DSCR. 6 markets run a positive cash-on-cash return, while the pricier coastal and Sun Belt metros stay negative. For a market that sits just under the line, a larger down payment or a rate buydown is usually what tips the deal positive. The Index ranks all 18 by cash-flow strength so you can see how close each one is. See the full ranking and the methodology.

Common questions

What is a DSCR loan?

A DSCR (Debt Service Coverage Ratio) loan is a no-income-verification investment mortgage that qualifies on whether the property’s rent covers the debt, not on your personal income. Lenders typically require a DSCR of at least 1.20.

What is the Investor Yield Index?

A weekly, per-metro cash-flow score (0 to 100) DSCRRadar computes from public Zillow home-value and rent feeds. It blends cap rate, gross yield, DSCR, and cash-on-cash at a prevailing 30-year mortgage rate (currently 6.80%, a market estimate) so you can compare markets apples-to-apples.

What DSCR do I need to qualify?

Most DSCR lenders require 1.2 or higher, meaning annual net operating income must cover annual debt service by at least 20%. At 6.80% financing 4 of the 18 tracked metros clear that line today, led by Cleveland at 1.22. For the markets that fall short, the Index shows which come closest, so you know where a larger down payment or buydown can close the gap.

Are the rates and scores live?

Yes. Home values and rents are pulled from public Zillow feeds across 18 metros and refreshed weekly. The 6.80% 30-year mortgage rate used in the Index is a current market estimate rather than a live lender quote, so treat it as a benchmark and run your own quote on a specific deal.

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