HomeUnion, an online residential real estate investment management firm, has named Greenville one of the 10-best markets for returns on single-family rental properties.
The lists analyze first-year SFR returns, or cap rates, in each market. The cap rate is the relationship between an investment property’s net operating income (rents minus expenses) and the market value of the property.
Greenville tied for seventh.
“Through midyear, owners of SFR investment properties benefited from healthy returns in many markets nationwide, but especially in markets located in the Midwest and Southeast,” said Steve Hovland, director of research services at HomeUnion. “Investment real estate has proven to be a successful part of a diversified portfolio, and these markets offer the largest returns.”
The 10 highest-yielding markets to invest in SFRs:
| Rank | Metro Area | Cap Rate (%) |
| 1 | Cleveland | 11.1 |
| 2 | Columbia, S.C. | 9.7 |
| 3 | Birmingham, Ala. | 8.5 |
| 4 | Pittsburgh | 8.4 |
| 5 | Milwaukee | 8.4 |
| 6 | Cincinnati | 8.2 |
| 7 | Memphis, Tenn. | 8 |
| 8 | Greenville, S.C. | 8 |
| 9 | Tampa, Fla. | 8 |
| 10 | Philadelphia | 8 |
The 10 lowest-yielding markets to invest in SFRs:
| Rank | Metro Area | Cap Rate (%) |
| 1 | San Francisco | 2.5 |
| 2 | San Jose, Calif. | 2.6 |
| 3 | Orange County, Calif. | 2.7 |
| 4 | Los Angeles | 3.1 |
| 5 | San Diego | 3.5 |
| 6 | Oakland, Calif. | 3.5 |
| 7 | New York | 3.5 |
| 8 | Seattle | 3.5 |
| 9 | Sacramento, Calif. | 3.7 |
| 10 | Portland, Ore. | 3.8 |
Source: HomeUnion
