Real Estate Investing in Merom, Indiana (47861)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 47861 (Merom, IN)? 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: 8.9% vacancy may signal weakening demand.
• Limited market data — this is a very small market; averages are built from few observations and can swing widely. • Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Merom, IN (47861)?
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Market Analysis: 47861 Merom
The 47861 ZIP covers a section of Merom that demands careful diligence. Prices near $142K look accessible, but the work to make a deal cash flow is real.
Rent of $909/mo on a $142K basis reads well until vacancy, delinquency, and capex enter the model. The honest cap rate in 47861 sits below the stated 0.0% once reality is priced in.
Stepping back, 47861 offers a low basis, the region around Merom has moved on in ways that the ZIP itself has not fully absorbed. The result is a discount with genuine reasons.
Resident income in 47861 sits below the county median. That reality colors rent collection, vacancy, and reinvestment math in ways that outside investors often underestimate.
trends toward the ZIP is not uninvestable, but it is unforgiving. Section 8 landlords, local operators, and specialized value-add funds are the investor types that tend to succeed.
Here's what matters if you're considering buying a home in Merom:
Market Trends
Home Value History (with trend line)
📊 How Does 47861 Compare?
| Metric | 47861 | Merom | Terre Haute, IN | Indiana |
|---|---|---|---|---|
| Home Value | $142,435 | $142,435 | N/A | $248,442 |
| 5-Year CAGR | 5.7% | 5.7% | N/A | 7.7% |
| Avg Rent | $909 | $909 | N/A | - |
| Cap Rate | 5.0% | 5.0% | - | - |
Similar ZIPs Within 25 Miles
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Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 47861 (Merom, IN). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $142,435 |
| Monthly Rent | $909 |
| Price-to-Rent | 13.1:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 7.7% |
| Cap Rate | 5.0% |
| 5-Year IRR | 10.6% |
📈 Home Appreciation
| 1-Year | +7.3% ▲ |
| 3-Year CAGR | +4.7% ▲ |
| 5-Year CAGR | +5.7% ▲ |
| 10-Year CAGR | +6.8% ▲ |
🏠 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 (5.0%). 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 47861
Population: 640
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
🎓 Nearby Colleges & Universities
Frequently Asked Questions
How expensive is real estate in Merom, IN?
Typical homes in Merom, IN go for around $142K. The 5-year CAGR of 0.0% reliable price movement.
Is IN a landlord-friendly state?
For rental operators, Merom, IN rates as landlord-friendly. The regulatory environment standard buy-and-hold operations.
What kind of tenants rent in Merom, IN?
The tenant pool in Merom, IN is solid, supported by local employment and population fundamentals. Rents of $909/mo are well-absorbed by the market.
Does house hacking work in Merom, IN?
House hacking in Merom, IN is a challenging. With home values around $142K and rents at $909/mo, owner-occupants can offset a meaningful share of PITI.
Is Merom, IN a good market for buy-and-hold investors?
The 3.0/5 investability rating in Merom, IN reflects its $142K prices and $909/mo rents. Investors generally consider it a solid option within IN.
You know 47861 now. You don’t know where it ranks.
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How 47861 ranks in Terre Haute, IN
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