Real Estate Investing in Island, Kentucky (42350)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 42350 (Island, KY)? 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: 14.3% of homes vacant — above national norms.
- 1-year downturn: Values declined 4.2% in the last year.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Island, KY (42350)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 42350 Island
From an investor standpoint, ZIP 42350 has challenges — vacancy pressure, softer price growth, and tenant stability concerns sit alongside the $139K median. It rewards specialists, not generalists.
The investment case in 42350 is impressive only for operators who understand what they are buying. A $139K median suggests accessibility, but management intensity, vacancy drift, and capex surprises are real.
Nearby ZIPs in Island have seen price recovery that 42350 has not matched. McLean County data supports the view that the spread is structural rather than temporary.
Who lives in 42350 is part of why the ZIP is priced as it is. The demographic profile requires hands-on management, tight screening, and local knowledge.
Experienced landlords with local relationships tend to find 42350 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 Island:
Market Trends
Home Value History (with trend line)
📊 How Does 42350 Compare?
| Metric | 42350 | Island | Owensboro, KY | Kentucky |
|---|---|---|---|---|
| Home Value | $138,549 | $138,549 | N/A | $225,788 |
| 5-Year CAGR | 3.8% | 3.8% | N/A | 6.9% |
| Avg Rent | $999 | $999 | N/A | - |
| Cap Rate | 5.6% | 5.6% | - | - |
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 42350 (Island, KY). Anonymous, moderated, never written by AI.
Do you own or manage rentals in ZIP 42350 (Island, KY)?
~25 seconds · no account needed · your report is anonymous
📊 Market Snapshot
| Home Value | $138,549 |
| Monthly Rent | $999 |
| Price-to-Rent | 11.6:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 8.7% |
| Cap Rate | 5.6% |
| 5-Year IRR | 9.4% |
📈 Home Appreciation
| 1-Year | -4.2% ▼ |
| 3-Year CAGR | +1.5% ▲ |
| 5-Year CAGR | +3.8% ▲ |
| 10-Year CAGR | +6.4% ▲ |
🏠 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 (5.6%). 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 42350
Population: 1,175
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
Frequently Asked Questions
How does Island, KY stack up for property investment?
Island, KY registers an investability rating of 3.0/5, with median home values near $139K and average rents around $999/mo. That combination puts it in the solid tier for investor interest.
What do landlords charge for rent in Island, KY?
Rent in Island, KY is around $999/mo. The resulting rent-to-value relationship with $139K pricing is reasonable for most investor models.
How tight is the rental market in Island, KY?
Island, KY carries elevated vacancy risk. Expect consistent absorption at market rents of $999/mo.
Is Island, KY landlord-friendly?
KY ranks as a landlord-friendly state for landlord-tenant law. Island generally follows the statewide framework, so landlords face reasonable operating rules.
What price range are homes in Island, KY?
The median home value in Island, KY is roughly $139K. That puts it reasonable relative to the KY statewide average.
You know 42350 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 42350 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 42350 ranks in Owensboro, KY
Every ZIP in this metro, ranked. Free.
AI Market Advisor
Ask questions about investing in 42350 (Island)
Community Ratings
What people who’ve spent time here actually say. Not paid reviews.
Be the first to rate 42350 (Island, KY).
It takes 30 seconds. No signup. Your rating helps everyone who comes here after you.