Memphis, TN vs St. Louis, MO: Real Estate Investment Comparison

Side-by-side comparison of two popular real estate investment markets. See how Memphis and St. Louis stack up on price, rent, cap rate, and more.

Median Home Price
$150K-$220K
$150K-$230K
Average Rent
$1,000-$1,400
$900-$1,400
Cap Rate Range
7-10%
7-10%
Price-to-Rent Ratio
10-14
11-14
Population
630K+
300K+
Region
South
Midwest

Why Invest in Memphis?

Memphis offers some of the highest cap rates in the country with very affordable entry points. The city has a large Section 8 housing program and a strong logistics industry anchored by FedEx headquarters.

  • 1No state income tax
  • 2Affordable entry prices
  • 3Large Section 8 market
  • 4FedEx and logistics hub

Why Invest in St. Louis?

St. Louis offers some of the most affordable real estate among major US metros with strong rental yields. Washington University and a stable healthcare sector provide consistent employment and rental demand.

  • 1Very affordable entry points
  • 2Washington University drives demand
  • 3Strong healthcare sector
  • 4High cap rates available

Which Is Better For...

Cash Flow Investing

Both cities offer similar cap rates, making them comparable for cash flow investing.

Low Entry Cost

Memphis has lower median prices ($150K-$220K vs $150K-$230K), requiring less capital to get started.

Rental Income

Memphis has higher average rents ($1,000-$1,400 vs $900-$1,400), generating more gross rental income.

Market Size

Memphis (630K+) is the larger market, offering more inventory and diversification.

Analyze Properties in Either Market

Search any address in Memphis or St. Louis and get instant cap rate, cash flow, and ROI calculations.

Frequently Asked Questions

Is Memphis or St. Louis better for rental property investing?

Both cities offer opportunities. Memphis has cap rates of 7-10% with median prices of $150K-$220K, while St. Louis has cap rates of 7-10% with median prices of $150K-$230K. The best choice depends on your investment goals — cash flow vs appreciation — and your budget. Use PropertyDNA to analyze specific properties in either market.

What are the cap rates in Memphis vs St. Louis?

Memphis, TN has cap rates ranging from 7-10%, while St. Louis, MO has cap rates of 7-10%. Higher cap rates indicate more income relative to the property price, but may come with different risk profiles.

Which city has more affordable rental properties, Memphis or St. Louis?

Memphis has median home prices of $150K-$220K compared to St. Louis's $150K-$230K. Average rents are $1,000-$1,400 in Memphis and $900-$1,400 in St. Louis. Consider both price and rent when evaluating affordability and cash flow potential.

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