Real Estate Investing in Island, Kentucky

Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.

1 ZIP codes • Population: 1,175 • McLean County

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Should you buy in Island, KY? Our answer, based on the numbers below.

🏠 For Homebuyers
MIXED
Grade C (68/100)

Mixed signals — some positives, some negatives. Worth considering but not a slam-dunk.

📈 For Investors
MIXED
3.0 / 5 (52/100)

A cash-flow market — rent-to-price math works from day one, though value growth is modest. Great for income-focused investors.

⚠️ Risks to Know
2 flags
  • High vacancy: 14.3% of homes vacant — above national norms.
  • 1-year downturn: Values declined 4.2% in the last year.

What’s happening in Island, KY?

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3.0/ 5

Investability

Citywide average

2.0/ 5

Appreciation

3.8% 5yr CAGR

5.0/ 5

Landlord Climate

Regulatory friendliness

🏦 30-yr Fixed Rate: 6.95% as of Sep 17 Source: Freddie Mac PMMS
Avg Investability
Avg Home Value $138,549
Avg Monthly Rent $999
ZIP Codes 1

Investing in Island Real Estate

Island in Kentucky is one of the markets where the numbers warn before they reward — 1 ZIPs, a sizable population, and a rating that reflects material risk.

clearly Island's aggregate rating of ★★★☆☆ reflects lackluster investor metrics across the board — weak rent growth, weak appreciation, and rising-vacancy pressure in multiple ZIPs.

Market conditions in Island are underwhelming. Days-on-market has stretched, rent growth has stalled, and the 0.0% 5-year CAGR understates how uneven the underlying ZIPs really are.

The 0% renter share in Island masks uneven tenant quality across ZIPs, and $N/AK median income leaves little cushion against economic shocks.

A great house in the wrong ZIP is still a bad deal — screen every market by cash flow & cap rate.
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Best ZIP codes in Owensboro, KY

Island is part of this metro. Every ZIP in it, ranked. Free.

Cash Flow → Appreciation → Affordable →

Landlord Ground Truth

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Avg Home Value
$138,549
Avg Monthly Rent
$999
1% Rule
✗ Below
Landlord Friendly (KY)

📉 Market Crash Risk Index

Based on Owensboro, KY metro

2/10
Low Risk
Price YoY
0/3
N/A
Rent YoY
0/2
N/A
Below List
1/3
56%
Days Pending
1/2
53 days

View all metro crash risk rankings →

❄️ Cool Market — Owensboro, KY metro
53
Days to pending
12.0%
Listings with price cuts
0.0%
Sale-to-list ratio
📅 Data as of August 29, 2026 — updated weekly

ZIP Codes in Island, KY

Screen every ZIP in Island

Filter Island’s ZIPs by cap rate, vacancy, appreciation and 30+ more criteria, and export your shortlist to CSV — with the Investor plan ($19/mo).

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Frequently Asked Questions About Island, KY

Is housing expensive in Island, KY?

Typical homes in Island, KY go for around $139K. The 5-year CAGR of 0.0% stable price movement.

Is it easy to find good tenants in Island, KY?

Tenant quality in Island, KY ranks as solid. Landlords generally report measured occupancy at market rents of $999/mo.

Are landlord laws favorable in Island, KY?

For rental operators, Island, KY rates as landlord-friendly. The regulatory environment standard buy-and-hold operations.

Can I house hack in Island, KY?

The house hack math a challenging in Island, KY. Owner-occupant buyers benefit from the $999/mo rents and $139K home values.

How high is vacancy risk in Island, KY?

Island, KY sees elevated vacancy, which is reasonable relative to the broader KY rental market.

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