Real Estate Investing in Frankfort, Kentucky (40601)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 40601 (Frankfort, KY)? 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.
What’s happening in Frankfort, KY (40601)?
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Market Analysis: 40601 Frankfort
Investors eyeing 40601 need to respect the fundamentals at play. Home values of $248K come alongside slower price movement and elevated management overhead.
The 40601 ZIP can work — but only with a tight operating hand. Remote landlords and passive investors tend to struggle here more than the underwriting suggests.
Within KY, ZIP 40601 trails on several market indicators that neighboring Franklin County submarkets outperform. The gap is real and impressive enough to shape underwriting.
Employment concentration in 40601 leans toward sectors with higher volatility. The demographic consequence is income fluctuation that investors need to factor into their pro forma.
The 40601 ZIP fits a narrow investor profile — hands-on, patient, and willing to accept that the cap rate on paper is not the cap rate in reality.
Here's what matters if you're considering buying a home in Frankfort:
Property Strategy for 40601
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 1BR | $100,659 | $880 | 6.3% | +3.4% | $100,659 |
| 2BR | $179,779 | $1,090 | 4.4% | +9.4% | $89,889 |
| 3BR | $245,424 | $1,420 | 4.2% | +8.7% | $81,808 |
| 4BR | $323,422 | $1,690 | 3.8% | +7.8% | $80,856 |
| 5BR | $395,736 | — | — | +6.7% | $79,147 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 40601 Compare?
| Metric | 40601 | Frankfort | Frankfort, KY | Kentucky |
|---|---|---|---|---|
| Home Value | $247,864 | $247,864 | N/A | $225,788 |
| 5-Year CAGR | 6.4% | 6.4% | N/A | 6.9% |
| Avg Rent | $1,035 | $1,035 | N/A | - |
| Cap Rate | 3.3% | 3.3% | - | - |
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 40601 (Frankfort, KY). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $247,864 |
| Monthly Rent | $1,035 |
| Price-to-Rent | 20.0:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 5.0% |
| Cap Rate | 3.3% |
| 5-Year IRR | 9.7% |
📈 Home Appreciation
| 1-Year | +2.2% ▲ |
| 3-Year CAGR | +5.9% ▲ |
| 5-Year CAGR | +6.4% ▲ |
| 10-Year CAGR | +6.4% ▲ |
🏠 Rent Trends
| 1-Year | -1.3% ▼ |
| 3-Year CAGR | +4.1% ▲ |
| 5-Year CAGR | +5.6% ▲ |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.3%). 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 40601
Population: 51,627
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 40601
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 typical vacancy rate in Frankfort, KY?
Frankfort, KY vacancy trends elevated. Investors running standard buy-and-hold plays see reasonable downtime between tenants.
What kind of tenants rent in Frankfort, KY?
Tenant quality in Frankfort, KY ranks as solid. Landlords generally report stable occupancy at market rents of $1,035/mo.
Where do home prices stand in Frankfort, KY?
Frankfort, KY home values average about $248K. That price point suits investors targeting rentals with $1,035/mo in monthly income.
What is the smart move for investors in Frankfort, KY?
Most investors in Frankfort, KY run a careful cash-flow rentals with hands-on management strategy. It aligns with the 3.0/5 investability profile and the market fundamentals.
Are rents high in Frankfort, KY?
Frankfort, KY rentals go for roughly $1,035/mo a month. That puts gross yield in solid territory relative to $248K acquisition costs.
You know 40601 now. You don’t know where it ranks.
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