Real Estate Investing in Durham, North Carolina (27701)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 27701 (Durham, NC)? Our answer, based on the numbers below.
Proceed carefully. Weak appreciation or affordability makes this a harder case for most buyers.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- High vacancy: 12.0% of homes vacant — above national norms.
What’s happening in Durham, NC (27701)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 27701 Durham
From a cash-flow lens, ZIP 27701 has challenges — vacancy pressure, softer price growth, and tenant stability concerns sit alongside the $428K median. It rewards specialists, not generalists.
Looking more closely, the numbers look inviting — $428K purchase price, 0.0% nominal cap — the work to hit that pro forma in 27701 is substantial and deserves full respect.
Regionally, 27701 sits on the difficult end of the NC spectrum. The a solid fit for read — for disciplined operators — is that pricing reflects the difficulty.
The demographic picture in 27701 includes headwinds that any investor should price in. Income distribution skews lower than Durham averages, and tenant stability requires active management.
Experienced landlords with local relationships tend to find 27701 workable. Turnkey investors from out of state usually find the numbers do not hold up in practice.
Here's what matters if you're considering buying a home in Durham:
Property Strategy for 27701
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 1BR | $271,884 | $1,480 | 3.9% | +5.0% | $271,884 |
| 2BR | $345,366 | $1,690 | 3.5% | +5.9% | $172,683 |
| 3BR | $439,619 | $2,110 | 3.5% | +6.3% | $146,540 |
| 4BR | $700,833 | $2,530 | 2.6% | +7.6% | $175,208 |
| 5BR | $837,478 | — | — | +8.3% | $167,496 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 27701 Compare?
| Metric | 27701 | Durham | Durham-Chapel Hill, NC | North Carolina |
|---|---|---|---|---|
| Home Value | $427,836 | $318,265 | N/A | $330,565 |
| 5-Year CAGR | 3.6% | 4.5% | N/A | 7.8% |
| Avg Rent | $1,766 | $1,760 | N/A | - |
| Cap Rate | 3.2% | 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 27701 (Durham, NC). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $427,836 |
| Monthly Rent | $1,766 |
| Price-to-Rent | 20.2:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 5.0% |
| Cap Rate | 3.2% |
| 5-Year IRR | 6.9% |
📈 Home Appreciation
| 1-Year | +4.7% ▲ |
| 3-Year CAGR | +1.6% ▲ |
| 5-Year CAGR | +3.6% ▲ |
| 10-Year CAGR | +8.0% ▲ |
🏠 Rent Trends
| 1-Year | +3.8% ▲ |
| 3-Year CAGR | +2.0% ▲ |
| 5-Year CAGR | +4.0% ▲ |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.2%). 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 27701
Population: 24,881
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 27701
Schools in This ZIP Code
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 1,489 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
Where do rents currently stand in Durham, NC?
Investors in Durham, NC typically see rents near $1,766/mo per month against $428K home values - a solid setup for rental cash flow.
What is the renter demographic in Durham, NC?
Tenant quality in Durham, NC ranks as solid. Landlords generally report steady occupancy at market rents of $1,766/mo.
How quickly do rentals get leased in Durham, NC?
Vacancy risk in Durham, NC is elevated. That supports steady cash flow for typical rental holds.
How much does a house cost in Durham, NC?
In Durham, NC the median home value sits at $428K. Against the broader NC market, that reads as reasonable for most investors.
How does Durham, NC stack up for property investment?
Yes - Durham, NC a 3.0/5 investability score. With $428K home prices against $1,766/mo monthly rent, the market delivers a reasonable entry point for new investors.
You know 27701 now. You don’t know where it ranks.
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How 27701 ranks in Durham-Chapel Hill, NC
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