Real Estate Investing in Needham, Massachusetts (02494)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 02494 (Needham, MA)? Our answer, based on the numbers below.
Mixed — home prices are stretched relative to local incomes. Run the math on your specific situation.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- Tenant-protective state: Landlord rating 1.0/5 — slower evictions, more regulations.
- High price-to-rent: Price-to-rent ratio 34.9 — hard to cash-flow at these prices.
What’s happening in Needham, MA (02494)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 02494 Needham
The 02494 ZIP in Needham, MA is a local-operator market. Outside capital chasing a $1.4M entry has to pair deep knowledge with the discount.
Stepping back, the numbers look inviting — $1.4M purchase price, 0.0% nominal cap — the work to hit that pro forma in 02494 is substantial and deserves full respect.
Statewide comparisons place 02494 among MA's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.
Employment concentration in 02494 leans toward sectors with higher volatility. The demographic consequence is income fluctuation that investors need to factor into their pro forma.
The 02494 ZIP fits a narrow investor profile — hands-on, patient, and willing to accept that the cap rate on paper is not the cap rate in reality.
Here's what matters if you're considering buying a home in Needham:
Property Strategy for 02494
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $754,959 | $3,040 | 2.9% | +6.6% | $377,479 |
| 3BR | $1,120,370 | $3,640 | 2.3% | +6.8% | $373,457 |
| 4BR | $1,487,862 | $4,030 | 2.0% | +7.7% | $371,966 |
| 5BR | $2,134,704 | — | — | +8.2% | $426,941 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 02494 Compare?
| Metric | 02494 | Needham | Massachusetts |
|---|---|---|---|
| Home Value | $1,373,313 | $1,526,349 | $645,115 |
| 5-Year CAGR | 6.3% | 6.5% | 7.0% |
| Avg Rent | $3,284 | $3,642 | - |
| Cap Rate | 1.9% | 1.9% | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 02494 (Needham, MA). Anonymous, moderated, never written by AI.
Do you own or manage rentals in ZIP 02494 (Needham, MA)?
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Property managers serving Norfolk County
Manage rentals here? List your business →Old Colony Property Services is a condominium and HOA property management company serving the Old Colony area of Southeastern Massachusetts, including Canton, Easton, Brockton, and Bridgewater. summary from their website
Bellevue Property Management is a home rental and property management company servicing Boston Metrowest, including Newton, Needham, Wellesley, Weston, Wayland, Natick, and Holliston. summary from their website
The Triad Group is a real estate and development company specializing in taking development projects from vision to reality across the United States and globally. summary from their website
Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.
📊 Market Snapshot
| Home Value | $1,373,313 |
| Monthly Rent | $3,284 |
| Price-to-Rent | 34.9:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 2.9% |
| Cap Rate | 1.9% |
| 5-Year IRR | 8.2% |
📈 Home Appreciation
| 1-Year | +7.0% ▲ |
| 3-Year CAGR | +6.3% ▲ |
| 5-Year CAGR | +6.3% ▲ |
| 10-Year CAGR | +6.1% ▲ |
🏠 Rent Trends
| 1-Year | +8.6% ▲ |
| 3-Year CAGR | +4.2% ▲ |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (1.9%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.
Run an IRR Analysis →⚠️ Risk Signals
Composite view of factors that can impact a ZIP's stability and your downside risk.
Demographics in 02494
Population: 10,578
Crime & Safety
Crime & Safety Data Coming Soon
We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.
Expected: Q1 2025
🎓 Schools in 02494
Schools in This ZIP Code
Nearby Schools (5 more)
Schools in adjacent ZIP codes that may serve this area
A E Angier
Bowen
Charles E Brown Middle
Countryside
Mason-Rice
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
🎓 Nearby Colleges & Universities
Investor Insight: With 1,640 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
What are rental rates like in Needham, MA?
Rental rates in Needham, MA average $3,284/mo. Tenant demand and $1.4M home values make the yield look reasonable by investor standards.
Is Needham, MA suited for a house hack?
For house hackers, Needham, MA is a tougher. The $3,284/mo rent on a unit helps defray the mortgage on a $1.4M property.
Is Needham, MA a smart market for rental property?
With a 3.0/5 investability score, Needham, MA ranks as a solid market for rental property investors. Median prices of $1.4M and rents of $3,284/mo drive the underlying numbers.
What are home prices like in Needham, MA?
The median home value in Needham, MA is roughly $1.4M. That puts it reasonable relative to the MA statewide average.
Do landlords face vacancy issues in Needham, MA?
Expect elevated vacancy in Needham, MA. Rents at $3,284/mo are absorbed by the tenant base without meaningful lag.
You know 02494 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 02494 compares to every other market. Investor ($19/mo) screens every U.S. ZIP by cap rate, the 1% rule, vacancy and landlord climate, and exports your shortlist.
How 02494 ranks in Boston-Cambridge-Newton, MA-NH
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