Real Estate Investing in Clayton, Michigan (49235)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 49235 (Clayton, MI)? Our answer, based on the numbers below.
Mixed signals — some positives, some negatives. Worth considering but not a slam-dunk.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- Elevated vacancy: 11.5% vacancy may signal weakening demand.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Clayton, MI (49235)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 49235 Clayton
The 49235 ZIP in Clayton, MI is a local-operator market. Outside capital chasing a $249K entry has to pair deep knowledge with the discount.
The 49235 ZIP can work — but only with a tight operating hand. Remote landlords and passive investors tend to struggle here more than the underwriting suggests.
From an investor standpoint, 49235 offers a low basis, the region around Clayton has moved on in ways that the ZIP itself has not fully absorbed. The result is a discount with genuine reasons.
Resident income in 49235 sits below the county median. That reality colors rent collection, vacancy, and reinvestment math in ways that outside investors often underestimate.
The 49235 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 Clayton:
Property Strategy for 49235
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $170,707 | $1,090 | 4.6% | — | $85,353 |
| 3BR | $212,629 | $1,390 | 4.7% | +7.7% | $70,876 |
| 4BR | $259,667 | $1,520 | 4.2% | — | $64,917 |
Market Trends
Home Value History (with trend line)
📊 How Does 49235 Compare?
| Metric | 49235 | Clayton | Adrian, MI | Michigan |
|---|---|---|---|---|
| Home Value | $248,569 | $248,569 | N/A | $253,279 |
| 5-Year CAGR | 5.8% | 5.8% | N/A | 6.8% |
| Avg Rent | $981 | $981 | N/A | - |
| Cap Rate | 3.1% | 3.1% | - | - |
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 49235 (Clayton, MI). Anonymous, moderated, never written by AI.
Do you own or manage rentals in ZIP 49235 (Clayton, MI)?
~25 seconds · no account needed · your report is anonymous
📊 Market Snapshot
| Home Value | $248,569 |
| Monthly Rent | $981 |
| Price-to-Rent | 21.1:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 4.7% |
| Cap Rate | 3.1% |
| 5-Year IRR | 8.9% |
📈 Home Appreciation
| 1-Year | +13.3% ▲ |
| 3-Year CAGR | +7.0% ▲ |
| 5-Year CAGR | +5.8% ▲ |
| 10-Year CAGR | +7.5% ▲ |
🏠 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 (3.1%). 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 49235
Population: 2,036
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
What are vacancy rates like in Clayton, MI?
Clayton, MI sees elevated vacancy, which is reasonable relative to the broader MI rental market.
Are homes affordable in Clayton, MI?
Clayton, MI home values average about $249K. That price point suits investors targeting rentals with $981/mo in monthly income.
What monthly rent should investors expect in Clayton, MI?
Rental rates in Clayton, MI average $981/mo. Tenant demand and $249K home values make the yield look reasonable by investor standards.
Which investment style suits Clayton, MI?
Investors usually favor careful cash-flow rentals with hands-on management in Clayton, MI. With home values at $249K and rents near $981/mo, other strategies can work but produce reliable rather than outsized returns.
Is Clayton, MI a good place for real estate investing?
Clayton, MI reports an investability rating of 3.0/5, with median home values near $249K and average rents around $981/mo. That combination puts it in the healthy tier for investor interest.
You know 49235 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 49235 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 49235 ranks in Adrian, MI
Every ZIP in this metro, ranked. Free.
AI Market Advisor
Ask questions about investing in 49235 (Clayton)
Community Ratings
What people who’ve spent time here actually say. Not paid reviews.
Be the first to rate 49235 (Clayton, MI).
It takes 30 seconds. No signup. Your rating helps everyone who comes here after you.