Real Estate Investing in Lexington, Tennessee (38368)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 38368 (Lexington, 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.
No major risk flags on the data we track.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Lexington, TN (38368)?
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Market Analysis: 38368 Lexington
Investors eyeing 38368 need to respect the fundamentals at play. Home values of $166K come alongside slower price movement and elevated management overhead.
The 38368 ZIP can work — but only with a tight operating hand. Remote landlords and passive investors tend to struggle here more than the underwriting suggests.
Statewide comparisons place 38368 among TN's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.
A durable renter share of 23% in 38368 is not, on its own, a problem — but paired with below-average income and high mobility, it changes the operating playbook.
The right play in 38368 usually involves deep tenant screening, aggressive delinquency response, and a conservative capex buffer. Anything less, and the discount can turn into a trap.
Here's what matters if you're considering buying a home in Lexington:
Market Trends
Home Value History (with trend line)
📊 How Does 38368 Compare?
| Metric | 38368 | Lexington | Jackson, TN | Tennessee |
|---|---|---|---|---|
| Home Value | $165,604 | $194,962 | N/A | $327,001 |
| 5-Year CAGR | 5.6% | 6.5% | N/A | 7.7% |
| Avg Rent | $1,008 | $1,008 | N/A | - |
| Cap Rate | 4.8% | 4.1% | - | - |
Similar ZIPs Within 25 Miles
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Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 38368 (Lexington, TN). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $165,604 |
| Monthly Rent | $1,008 |
| Price-to-Rent | 13.7:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 7.3% |
| Cap Rate | 4.8% |
| 5-Year IRR | 10.4% |
📈 Home Appreciation
| 1-Year | +15.3% ▲ |
| 3-Year CAGR | +6.2% ▲ |
| 5-Year CAGR | +5.6% ▲ |
| 10-Year CAGR | +7.2% ▲ |
🏠 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 (4.8%). 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 38368
Population: 2,432
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 38368
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
Frequently Asked Questions
What is the rental occupancy rate in Lexington, TN?
Lexington, TN vacancy trends elevated. Investors running standard buy-and-hold plays see reasonable downtime between tenants.
What do rentals go for in Lexington, TN?
Average rent in Lexington, TN is approximately $1,008/mo per month. Against $166K home values that yields a reasonable rent-to-price ratio.
What is it like being a landlord in Lexington, TN?
TN law landlord-friendly for landlords, and Lexington inherits those rules. Investors should still review local ordinances for rental licensing.
Are tenants stable in Lexington, TN?
Lexington, TN draws a consistent base of working renters. Demand at the $1,008/mo rent level is reasonable for standard single-family and small multi rentals.
What real estate strategy is ideal for Lexington, TN?
Lexington, TN investors pursuing careful cash-flow rentals with hands-on management. The underlying economics ($166K prices, $1,008/mo rents) make it a reasonable choice.
You know 38368 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 38368 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.
How 38368 ranks in Jackson, TN
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