Real Estate Investing in Clayton, Alabama (36016)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 36016 (Clayton, AL)? Our answer, based on the numbers below.
Mixed signals — some positives, some negatives. Worth considering but not a slam-dunk.
A cash-flow market — rent-to-price math works from day one, though value growth is modest. Great for income-focused investors.
- High vacancy: 26.4% of homes vacant — above national norms.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Clayton, AL (36016)?
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Market Analysis: 36016 Clayton
Stepping back, ZIP 36016 has challenges — vacancy pressure, softer price growth, and tenant stability concerns sit alongside the $123K median. It rewards specialists, not generalists.
Meanwhile, the numbers look inviting — $123K purchase price, 0.0% nominal cap — the work to hit that pro forma in 36016 is substantial and deserves full respect.
Regionally, 36016 sits on the difficult end of the AL spectrum. The an appealing option for read — for disciplined operators — is that pricing reflects the difficulty.
Employment concentration in 36016 leans toward sectors with higher volatility. The demographic consequence is income fluctuation that investors need to factor into their pro forma.
Experienced landlords with local relationships tend to find 36016 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 Clayton:
Market Trends
Home Value History (with trend line)
📊 How Does 36016 Compare?
| Metric | 36016 | Clayton | Eufaula, AL-GA | Alabama |
|---|---|---|---|---|
| Home Value | $123,372 | $123,372 | N/A | $231,003 |
| 5-Year CAGR | 1.9% | 1.9% | N/A | 5.6% |
| Avg Rent | $729 | $729 | N/A | - |
| Cap Rate | 4.6% | 4.6% | - | - |
Similar ZIPs Within 25 Miles
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Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 36016 (Clayton, AL). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $123,372 |
| Monthly Rent | $729 |
| Price-to-Rent | 14.1:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 7.1% |
| Cap Rate | 4.6% |
| 5-Year IRR | 6.5% |
📈 Home Appreciation
| 1-Year | +14.3% ▲ |
| 3-Year CAGR | -0.7% ▼ |
| 5-Year CAGR | +1.9% ▲ |
| 10-Year CAGR | +4.4% ▲ |
🏠 Rent Trends
| 1-Year | N/A |
| 3-Year CAGR | N/A |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (4.6%). 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 36016
Population: 4,357
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 36016
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.
Frequently Asked Questions
How strong is the working-renter base in Clayton, AL?
Tenant demand in Clayton, AL is solid. The local workforce $729/mo rents across most rental classes.
How strong is Clayton, AL for real estate investors?
Clayton, AL scores 3.0/5 for investability. Home values sit at $123K and rents near $729/mo, which keeps the rent-to-price ratio in reasonable territory for buy-and-hold investors.
What is the rental occupancy rate in Clayton, AL?
Occupancy in Clayton, AL runs consistent with elevated vacancy. Well-priced units at $729/mo lease on reasonable timelines.
Are landlord laws favorable in Clayton, AL?
Rental owners in Clayton, AL deal with a landlord-friendly legal framework. Most standard eviction processes run on reasonable timelines.
What are home prices like in Clayton, AL?
Median home price in Clayton, AL is near $123K, with a 5-year CAGR of 0.0%. Prices have been stable and supportive of buy-and-hold strategies.
You know 36016 now. You don’t know where it ranks.
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How 36016 ranks in Eufaula, AL-GA
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