Real Estate Investing in Middletown, Iowa (52638)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 52638 (Middletown, IA)? Our answer, based on the numbers below.
Proceed carefully. Weak appreciation or affordability makes this a harder case for most buyers.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- High vacancy: 15.5% 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 Middletown, IA (52638)?
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Market Analysis: 52638 Middletown
In practical terms, ZIP 52638 has challenges — vacancy pressure, softer price growth, and tenant stability concerns sit alongside the $197K median. It rewards specialists, not generalists.
The investment case in 52638 is significant only for operators who understand what they are buying. A $197K median suggests accessibility, but management intensity, vacancy drift, and capex surprises are real.
Within IA, ZIP 52638 trails on several market indicators that neighboring Des Moines County submarkets outperform. The gap is real and robust enough to shape underwriting.
Who lives in 52638 is part of why the ZIP is priced as it is. The demographic profile requires hands-on management, tight screening, and local knowledge.
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 Middletown:
Market Trends
Home Value History (with trend line)
📊 How Does 52638 Compare?
| Metric | 52638 | Middletown | Burlington, IA-IL | Iowa |
|---|---|---|---|---|
| Home Value | $197,395 | $197,395 | N/A | $227,232 |
| 5-Year CAGR | 3.9% | 3.9% | N/A | 6.0% |
| Avg Rent | $873 | $873 | N/A | - |
| Cap Rate | 3.5% | 3.5% | - | - |
Similar ZIPs Within 25 Miles
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Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 52638 (Middletown, IA). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $197,395 |
| Monthly Rent | $873 |
| Price-to-Rent | 18.8:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 5.3% |
| Cap Rate | 3.5% |
| 5-Year IRR | 7.4% |
📈 Home Appreciation
| 1-Year | +11.4% ▲ |
| 3-Year CAGR | +3.6% ▲ |
| 5-Year CAGR | +3.9% ▲ |
| 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 (3.5%). 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 52638
Population: 427
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
Investor Insight: With 627 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
How quickly do rentals get leased in Middletown, IA?
Vacancy risk in Middletown, IA is elevated. That supports even-keeled cash flow for typical rental holds.
What is the tenant pool like in Middletown, IA?
Expect a solid tenant pool in Middletown, IA. The rental market absorbs $873/mo rents without meaningful friction.
Is IA a landlord-friendly state?
The landlord environment in Middletown, IA is landlord-friendly. Statewide rules shape most day-to-day operations for rental owners.
Does house hacking work in Middletown, IA?
House hacking works a challenging in Middletown, IA. Rents of $873/mo against $197K acquisition make the strategy solid for owner-occupants.
How much should I expect to pay for a home in Middletown, IA?
Typical homes in Middletown, IA go for around $197K. The 5-year CAGR of 0.0% measured price movement.
You know 52638 now. You don’t know where it ranks.
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How 52638 ranks in Burlington, IA-IL
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