Real Estate Investing in Waterford, Connecticut (06385)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 06385 (Waterford, CT)? Our answer, based on the numbers below.
Solid choice — values are growing steadily and the market is stable enough to buy with confidence.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- Elevated vacancy: 8.9% vacancy may signal weakening demand.
What’s happening in Waterford, CT (06385)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 06385 Waterford
This part of New London County is not an easy win. The 06385 ZIP sits at softness in key indicators, and the playbook that works in cleaner markets often stalls here.
If the plan assumes clean turnover, on-time rent, and low maintenance on a $446K asset, 06385 is the wrong submarket. If the plan prices in friction, the yield can still work.
The gap between 06385 and stronger Waterford ZIPs is not closing quickly. Investors should weight long-horizon assumptions accordingly.
A significant renter share of 21% in 06385 is not, on its own, a problem — but paired with below-average income and high mobility, it changes the operating playbook.
New investors are better served looking at Waterford's stable or hybrid ZIPs before stepping into 06385. The learning curve here is expensive when the lesson is wrong.
Here's what matters if you're considering buying a home in Waterford:
Property Strategy for 06385
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 1BR | $236,104 | $1,740 | 5.3% | +11.3% | $236,104 |
| 2BR | $327,541 | $2,170 | 4.8% | +10.1% | $163,770 |
| 3BR | $419,072 | $2,800 | 4.8% | +9.7% | $139,691 |
| 4BR | $524,263 | $3,480 | 4.8% | +9.8% | $131,066 |
| 5BR | $612,606 | — | — | +9.7% | $122,521 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 06385 Compare?
| Metric | 06385 | Waterford | Norwich-New London, CT | Connecticut |
|---|---|---|---|---|
| Home Value | $446,004 | $426,565 | N/A | $425,784 |
| 5-Year CAGR | 8.0% | 7.8% | N/A | 9.3% |
| Avg Rent | $2,308 | $1,865 | N/A | - |
| Cap Rate | 4.0% | 3.4% | - | - |
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 06385 (Waterford, CT). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $446,004 |
| Monthly Rent | $2,308 |
| Price-to-Rent | 16.1:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 6.2% |
| Cap Rate | 4.0% |
| 5-Year IRR | 12.0% |
📈 Home Appreciation
| 1-Year | +10.0% ▲ |
| 3-Year CAGR | +8.0% ▲ |
| 5-Year CAGR | +8.0% ▲ |
| 10-Year CAGR | +7.1% ▲ |
🏠 Rent Trends
| 1-Year | +11.9% ▲ |
| 3-Year CAGR | N/A |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (4.0%). 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 06385
Population: 15,900
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 06385
Schools in This ZIP Code
Nearby Schools (5 more)
Schools in adjacent ZIP codes that may serve this area
Bennie Dover Jackson Middle School
C.B. Jennings International Elementary Magnet
Nathan Hale Arts Magnet School
Winthrop STEM Elementary Magnet School
New London Visual and Performing Arts Magnet School
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
Frequently Asked Questions
Should investors consider Waterford, CT?
The 3.0/5 investability rating in Waterford, CT reflects its $446K prices and $2,308/mo rents. Investors generally consider it a solid option within CT.
Are rents high in Waterford, CT?
Rents in Waterford, CT run near $2,308/mo. Compared with median home prices of $446K that produces solid gross yields for typical rentals.
Are there empty rentals in Waterford, CT?
Waterford, CT sees elevated vacancy, which is reasonable relative to the broader CT rental market.
What is it like being a landlord in Waterford, CT?
CT ranks as a landlord-friendly state for landlord-tenant law. Waterford generally follows the statewide framework, so landlords face reasonable operating rules.
What is the average home sale price in Waterford, CT?
Expect median prices around $446K in Waterford, CT. The market has run at a 0.0% 5-year CAGR, so entry costs have been consistent.
You know 06385 now. You don’t know where it ranks.
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How 06385 ranks in Norwich-New London, CT
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