Real Estate Investing in Derby, Iowa (50068)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 50068 (Derby, IA)? Our answer, based on the numbers below.
Multiple negative signals. Better options likely exist nearby.
Structural challenges here. The numbers may look cheap but operational risk is high. Only for experienced, hands-on investors.
- High vacancy: 19.4% of homes vacant — above national norms.
• 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 Derby, IA (50068)?
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Market Analysis: 50068 Derby
Meanwhile, ZIP 50068 has challenges — vacancy pressure, softer price growth, and tenant stability concerns sit alongside the $231K median. It rewards specialists, not generalists.
If the plan assumes clean turnover, on-time rent, and low maintenance on a $231K asset, 50068 is the wrong submarket. If the plan prices in friction, the yield can still work.
Nearby ZIPs in Derby have seen price recovery that 50068 has not matched. Lucas data supports the view that the spread is structural rather than temporary.
Employment concentration in 50068 leans toward sectors with higher volatility. The demographic consequence is income fluctuation that investors need to factor into their pro forma.
seems to 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 Derby:
Market Trends
Home Value History (with trend line)
📊 How Does 50068 Compare?
| Metric | 50068 | Derby | Iowa |
|---|---|---|---|
| Home Value | $230,892 | $230,892 | $227,232 |
| 5-Year CAGR | N/A | N/A | 6.0% |
| Avg Rent | $927 | $927 | - |
| Cap Rate | 3.1% | 3.1% | - |
Similar ZIPs Within 25 Miles
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Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 50068 (Derby, IA). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $230,892 |
| Monthly Rent | $927 |
| Price-to-Rent | 20.8:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 4.8% |
| Cap Rate | 3.1% |
| 5-Year IRR | 9.2% |
📈 Home Appreciation
| 1-Year | +9.6% ▲ |
| 3-Year CAGR | +6.0% ▲ |
| 5-Year CAGR | N/A |
| 10-Year CAGR | N/A |
🏠 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 50068
Population: 267
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 much rent can I charge in Derby, IA?
Rents in Derby, IA run near $927/mo. Compared with median home prices of $231K that produces solid gross yields for typical rentals.
How high is vacancy risk in Derby, IA?
Vacancy risk in Derby, IA is elevated. That supports measured cash flow for typical rental holds.
Is Derby, IA a smart market for rental property?
The 2.0/5 investability rating in Derby, IA reflects its $231K prices and $927/mo rents. Investors generally consider it a solid option within IA.
How much does a house cost in Derby, IA?
In Derby, IA the median home value sits at $231K. Against the broader IA market, that reads as reasonable for most investors.
Is Derby, IA a good market for FHA house hackers?
Derby, IA is a a challenging market for house hackers. FHA or conventional owner-occupant buyers find the $231K price point reasonable to enter.
You know 50068 now. You don’t know where it ranks.
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