Real Estate Investing in Jackson, Tennessee (38305)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 38305 (Jackson, TN)? 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: 8.3% vacancy may signal weakening demand.
What’s happening in Jackson, TN (38305)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 38305 Jackson
This part of Madison County is not an easy win. The 38305 ZIP shows softness in key indicators, and the playbook that works in cleaner markets often stalls here.
For an experienced owner, 38305 can be a a strong candidate for hunting ground — but the discount at $280K reflects genuine risk that outside investors often underestimate.
Nearby ZIPs in Jackson have seen price recovery that 38305 has not matched. Madison County data supports the view that the spread is structural rather than temporary.
From a cash-flow lens, 53,366 residents fill the ZIP, renter turnover runs higher than neighboring postal codes and delinquency risk is a real line item rather than a theoretical one.
Strategy in 38305 is an operator game, not a passive one. Stepping back, entry prices of $280K are inviting, the management lift is real and non-optional.
Here's what matters if you're considering buying a home in Jackson:
Property Strategy for 38305
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $161,116 | $1,430 | 6.4% | +10.0% | $80,558 |
| 3BR | $250,008 | $1,900 | 5.5% | +9.8% | $83,336 |
| 4BR | $376,239 | $2,000 | 3.8% | +8.8% | $94,060 |
| 5BR | $523,288 | — | — | +9.2% | $104,658 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 38305 Compare?
| Metric | 38305 | Jackson | Jackson, TN | Tennessee |
|---|---|---|---|---|
| Home Value | $279,742 | $106,880 | N/A | $327,001 |
| 5-Year CAGR | 5.4% | 4.3% | N/A | 7.7% |
| Avg Rent | $1,506 | $1,248 | N/A | - |
| Cap Rate | 4.2% | 4.9% | - | - |
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 38305 (Jackson, TN). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $279,742 |
| Monthly Rent | $1,506 |
| Price-to-Rent | 15.5:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 6.5% |
| Cap Rate | 4.2% |
| 5-Year IRR | 9.6% |
📈 Home Appreciation
| 1-Year | +1.2% ▲ |
| 3-Year CAGR | +1.3% ▲ |
| 5-Year CAGR | +5.4% ▲ |
| 10-Year CAGR | +6.8% ▲ |
🏠 Rent Trends
| 1-Year | +8.5% ▲ |
| 3-Year CAGR | +6.2% ▲ |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (4.2%). 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 38305
Population: 53,366
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 38305
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 3,633 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
Can I house hack in Jackson, TN?
Jackson, TN is a a challenging market for house hackers. FHA or conventional owner-occupant buyers find the $280K price point reasonable to enter.
How strong is the working-renter base in Jackson, TN?
The renter base in Jackson, TN is reasonable for the $1,506/mo price point. Screening well and pricing to market typically yields measured tenants.
How does Jackson, TN rate as a rental market?
Jackson, TN scores 3.0/5 for investability. Home values sit at $280K and rents near $1,506/mo, which keeps the rent-to-price ratio in reasonable territory for buy-and-hold investors.
How high is vacancy risk in Jackson, TN?
Jackson, TN carries elevated vacancy risk. Expect even-keeled absorption at market rents of $1,506/mo.
How landlord-friendly is Jackson, TN?
Landlord-friendliness in Jackson, TN is landlord-friendly. Eviction timelines and lease enforcement are considered reasonable by most property managers.
You know 38305 now. You don’t know where it ranks.
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How 38305 ranks in Jackson, TN
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