Best ZIP Codes for Cash Flow in Santa Cruz-Watsonville, CA (2026)
Ranked by cap rate — the annual return on the purchase price before financing. ZIPs that also clear the 1% rule are marked.
| # | ZIP | City | Home value | Rent | Cap rate | 5-yr growth |
|---|---|---|---|---|---|---|
| 1 | 95007 | Boulder Creek, CA | $767,734 | $3,933 | 4.00% | -0.3% |
| 2 | 95064 | Santa Cruz, CA | $688,404 | $3,429 | 3.89% | -2.6% |
| 3 | 95041 | Felton, CA | $818,265 | $4,068 | 3.88% | 1.7% |
| 4 | 95019 | Freedom, CA | $757,786 | $3,429 | 3.53% | 2.4% |
| 5 | 95006 | Boulder Creek, CA | $726,352 | $3,200 | 3.44% | -0.3% |
| 6 | 95017 | Davenport, CA | $992,795 | $4,320 | 3.39% | -1.6% |
| 7 | 95076 | Watsonville, CA | $837,967 | $3,114 | 2.90% | 1.9% |
| 8 | 95018 | Ben Lomond, CA | $848,161 | $2,850 | 2.62% | 1.7% |
| 9 | 95066 | Scotts Valley, CA | $1,270,449 | $4,247 | 2.61% | 2.8% |
| 10 | 95003 | Aptos, CA | $1,348,762 | $3,924 | 2.27% | 1.8% |
| 11 | 95073 | Soquel, CA | $1,374,419 | $3,863 | 2.19% | 3.0% |
| 12 | 95010 | Capitola, CA | $1,242,348 | $3,331 | 2.09% | 2.7% |
| 13 | 95062 | Santa Cruz, CA | $1,329,180 | $3,520 | 2.07% | 2.1% |
| 14 | 95060 | Santa Cruz, CA | $1,399,201 | $3,625 | 2.02% | 3.1% |
| 15 | 95005 | Ben Lomond, CA | $921,688 | $2,300 | 1.95% | 1.8% |
| 16 | 95065 | Santa Cruz, CA | $1,355,004 | $2,900 | 1.67% | 2.5% |
Ranked from Repit’s own ZIP-level data — Zillow home values and rents, HUD fair-market rents where Zillow has no coverage, and U.S. Census vacancy. Cap rate is gross: annual rent over purchase price, before financing and expenses. Every ZIP above links to its full free page. How we calculate this →
Same metro, different strategy
Appreciation in Santa Cruz-Watsonville, CA · Affordable in Santa Cruz-Watsonville, CA
Or see the full Santa Cruz-Watsonville, CA metro profile.