Real Estate Investing in Lexington, North Carolina (27295)

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

Davidson County • Population: 38,521 • Data updated: September 2026

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Should you buy in 27295 (Lexington, NC)? Our answer, based on the numbers below.

🏠 For Homebuyers
GOOD FIT
Grade B (70/100)

Solid choice — values are growing steadily and the market is stable enough to buy with confidence.

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

A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.

⚠️ Risks to Know
CLEAN

No major risk flags on the data we track.

What’s happening in Lexington, NC (27295)?

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3.0/ 5

Investability

Overall investment appeal

3.0/ 5

Appreciation

Long-term value growth

4.0/ 5

Cashflow ROI

Rental yield potential

Avg Home Value $293,083
Avg Monthly Rent $2,015
1% Rule ✗ Does Not Meet
Median Income $59,526
% Renters 25.5%

Market Analysis: 27295 Lexington

Meanwhile, ZIP 27295 has challenges — vacancy pressure, softer price growth, and tenant stability concerns sit alongside the $293K median. It rewards specialists, not generalists.

The 27295 ZIP can work — but only with a tight operating hand. Remote landlords and passive investors tend to struggle here more than the underwriting suggests.

On the rental side, 27295 offers a low basis, the region around Lexington has moved on in ways that the ZIP itself has not fully absorbed. The result is a discount with genuine reasons.

Demographically, 27295 is a market where tenant selection matters more than unit finishes. Operators who understand that tend to do fine; those who do not tend to learn why the ZIP trades at a discount.

Experienced landlords with local relationships tend to find 27295 workable. Turnkey investors from out of state usually find the numbers do not hold up in practice.

Explore the Data — Click a Tab Below
🏦 Current 30-yr Fixed Mortgage Rate: 6.76% as of Sep 10 Source: Freddie Mac PMMS

Here's what matters if you're considering buying a home in Lexington:

B Good
Buy Confidence Score: 70/100
Affordability
10/25
Appreciation
22/25
Stability
13/20
Timing
10/15
Rental backup
15/15
Affordability
Moderate
Homes cost 4.9× the median income
Value Trend
Rising (+6.2%)
How home values changed in the past year
Rental Backup
Strong
Could rent for $2,015/mo if you need to move
Market Conditions
COOL
More inventory, negotiating room for buyers
Bottom Line: Mixed signals in this market. Research specific properties carefully and be prepared to negotiate.
❄️
COOL MARKET
Winston-Salem, NC Metro Area
More inventory, negotiating room for buyers
47 days
Average time to sell
Average
11.4%
Listings with price cuts
Few Cuts
0.0%
Sale price vs asking
Below Ask
0.0%
Income needed for mortgage
Affordable
📅 Market conditions as of August 29, 2026 — updated weekly from Winston-Salem, NC metro data
🏠

Property Strategy for 27295

Which property type performs best in this market?

Best for Cash Flow
1BR
5.2% cap rate
Best for Appreciation
1BR
+11.6% 5yr CAGR
Best Overall Value
5BR
$78,616/bedroom
📊 Compare All Property Types →
Type Median Value Est. Rent Cap Rate 5yr CAGR $/Bedroom
1BR $119,789 $860 5.2% +11.6% $119,789
2BR $181,009 $940 3.7% +10.7% $90,505
3BR $282,100 $1,290 3.3% +8.8% $94,033
4BR $353,320 $1,560 3.2% +6.6% $88,330
5BR $393,080 +6.5% $78,616

Market Trends

Home Value History (with trend line)

$310K$270K$230K$189K$149K$109KJul 2006Jul 2016Jul 2026

Rent History (with trend line)

$2,181$2,068$1,955$1,841$1,728$1,615Mar 2025Nov 2025Jul 2026

📊 How Does 27295 Compare?

Metric 27295 Lexington Winston-Salem, NC North Carolina
Home Value $293,083 $273,295 N/A $330,565
5-Year CAGR 6.6% 6.8% N/A 7.8%
Avg Rent $2,015 $1,674 N/A -
Cap Rate 5.4% 4.7% - -
💡 Why Invest in 27295? Click to expand

With a 3/5 investability rating, this ZIP shows solid fundamentals for buy-and-hold investors.

📊 See where this ZIP ranks in our Best-of lists →
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Landlord Ground Truth

Real numbers from people who own or manage rentals in ZIP 27295 (Lexington, NC). Anonymous, moderated, never written by AI.

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Investability
Good
Cap Rate
5.4%
Fair
5yr Growth
+6.6%
Strong

📊 Market Snapshot

Home Value $293,083
Monthly Rent $2,015
Price-to-Rent 12.1:1
1% Rule ✗ Fails

💰 Return Metrics

Gross Yield 8.3%
Cap Rate 5.4%
5-Year IRR 12.0%

📈 Home Appreciation

1-Year +6.2% ▲
3-Year CAGR +4.8% ▲
5-Year CAGR +6.6% ▲
10-Year CAGR +7.5% ▲

🏠 Rent Trends

1-Year +23.8% ▲
3-Year CAGR N/A
5-Year CAGR N/A
Negative Leverage — IRR / Tax Play Cap Rate: 5.4%  |  30yr Rate: 6.8%
Leverage reduces cash returns at current rates.

The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (5.4%). 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.

Vacancy
6.9%
Low risk
Landlord Climate
4.0/5
Friendly
Value Trend (5yr)
+6.6%
Growing
Eviction process: Moderate Rent control: Favorable

Demographics in 27295

Population: 38,521

💰 Median Household Income
$59,526
This area
$59,526
State
$63,256
USA
$74,580
🏠 Renter Occupied
25.5%
This area
25.5%
State
27.8%
USA
34.0%
💼 Unemployment Rate
1.5%
This area
1.5%
State
-19.3%
USA
3.7%
🎓 College Educated
18.6%
This area
18.6%
State
0.5%
USA
33.7%
👤 Median Age
44.4 years
This area
44.4 years
State
6.5 years
USA
38.9 years
🏚️ Vacancy Rate
6.9%
This area
6.9%
State
19.4%
USA
10.5%
👥 Population by Ethnicity
White 86.6%
Other/Mixed 5.4%
Black/African American 5.2%
Hispanic/Latino 3.5%
Asian 2.7%
👶 Under 18
21.6%
This area
21.6%
USA
22.0%
👴 65 and Over
18.5%
This area
18.5%
USA
17.3%
📊 Poverty Rate
7.2%
This area
7.2%
USA
11.5%

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 27295

B Avg School Grade
12 Schools
16.1:1 Avg Class Size
$11,601 Avg Per Pupil

Schools in This ZIP Code

A Very Good

Pickett Elementary School

📚 K – 05 Elementary
👥
373 Students
👨‍🏫
14.1:1 Class Size
💰
$14,532 Per Student
B+ Above Average

Churchland Elementary

📚 Pre-K – 05 Elementary
👥
400 Students
👨‍🏫
14.2:1 Class Size
💰
$11,522 Per Student
B Good

Midway Elementary

📚 Pre-K – 05 Elementary
👥
513 Students
👨‍🏫
16.3:1 Class Size
💰
$11,522 Per Student
B Good

North Davidson Middle

📚 06 – 08 Middle
👥
714 Students
👨‍🏫
17.7:1 Class Size
💰
$11,522 Per Student
B Good

Northwest Elementary

📚 Pre-K – 05 Elementary
👥
607 Students
👨‍🏫
16.7:1 Class Size
💰
$11,522 Per Student
B Good

Tyro Elementary

📚 Pre-K – 05 Elementary
👥
403 Students
👨‍🏫
16.1:1 Class Size
💰
$11,522 Per Student
B Good

Tyro Middle

📚 06 – 08 Middle
👥
545 Students
👨‍🏫
16.4:1 Class Size
💰
$11,522 Per Student
B Good

Welcome Elementary

📚 Pre-K – 05 Elementary
👥
639 Students
👨‍🏫
16.0:1 Class Size
💰
$11,522 Per Student
B Good

West Davidson High

📚 09 – 12 High School
👥
743 Students
👨‍🏫
17.3:1 Class Size
💰
$11,522 Per Student
B Good

North Davidson High

📚 09 – 12 High School
👥
904 Students
👨‍🏫
17.2:1 Class Size
💰
$11,522 Per Student
B Good

Reeds Elementary

📚 Pre-K – 05 Elementary
👥
286 Students
👨‍🏫
15.5:1 Class Size
💰
$11,522 Per Student
C+ Average

Davidson Charter Academy

📚 K – 08 School Charter
👥
611 Students
👨‍🏫
15.3:1 Class Size
💰
$9,464 Per Student
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

3 Nearby 4,268 Off-Campus Students
C
Davidson-Davie Community College
3,959 students · 7.5 mi
C+
Forsyth Technical Community College
8,716 students · 14.1 mi
C
Winston Salem Barber School
36 students · 14.1 mi

Investor Insight: With 4,268 students living off-campus nearby, this area has strong rental demand from the college population.

Frequently Asked Questions

What is the median home value in Lexington, NC?

The median home value in Lexington, NC is roughly $293K. That puts it reasonable relative to the NC statewide average.

What is the typical renter like in Lexington, NC?

The tenant pool in Lexington, NC is solid, supported by local employment and population fundamentals. Rents of $2,015/mo are well-absorbed by the market.

Is NC a landlord-friendly state?

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

Is house hacking profitable in Lexington, NC?

The house hack math a challenging in Lexington, NC. Owner-occupant buyers benefit from the $2,015/mo rents and $293K home values.

What approach is best for Lexington, NC real estate?

In Lexington, NC the durable play is typically careful cash-flow rentals with hands-on management. The combination of $293K prices and $2,015/mo rents suits that approach.

You know 27295 now. You don’t know where it ranks.

This page stays free — all of it. What one page can’t tell you is how 27295 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.

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How 27295 ranks in Winston-Salem, NC

Every ZIP in this metro, ranked. Free.

Cash Flow → Appreciation → Affordable →
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