Real Estate Investing in Red Bud, Illinois (62278)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 62278 (Red Bud, IL)? 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.
No major risk flags on the data we track.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Red Bud, IL (62278)?
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Market Analysis: 62278 Red Bud
The 62278 ZIP in Red Bud, IL is a local-operator market. Outside capital chasing a $259K entry has to pair deep knowledge with the discount.
Distressed does not mean uninvestable. It means the margin for error is thinner. ZIP 62278 rewards the prepared, punishes the overconfident, and leaves the math unchanged either way.
The gap between 62278 and stronger Red Bud ZIPs is not closing quickly. Investors should weight long-horizon assumptions accordingly.
The demographic picture in 62278 includes headwinds that any investor should price in. Income distribution skews lower than Red Bud averages, and tenant stability requires active management.
The 62278 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 Red Bud:
Property Strategy for 62278
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $205,066 | $1,000 | 3.5% | — | $102,533 |
| 3BR | $281,585 | $1,270 | 3.2% | +7.1% | $93,862 |
| 4BR | $338,805 | $1,570 | 3.3% | +7.1% | $84,701 |
Market Trends
Home Value History (with trend line)
📊 How Does 62278 Compare?
| Metric | 62278 | Red Bud | St. Louis, MO-IL | Illinois |
|---|---|---|---|---|
| Home Value | $258,765 | $258,765 | N/A | $279,761 |
| 5-Year CAGR | 7.2% | 7.2% | N/A | 6.6% |
| Avg Rent | $900 | $900 | N/A | - |
| Cap Rate | 2.7% | 2.7% | - | - |
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 62278 (Red Bud, IL). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $258,765 |
| Monthly Rent | $900 |
| Price-to-Rent | 24.0:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 4.2% |
| Cap Rate | 2.7% |
| 5-Year IRR | 9.9% |
📈 Home Appreciation
| 1-Year | +11.5% ▲ |
| 3-Year CAGR | +9.0% ▲ |
| 5-Year CAGR | +7.2% ▲ |
| 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 (2.7%). 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 62278
Population: 6,425
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
🎓 Schools in 62278
Schools in This ZIP Code
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
🎓 Nearby Colleges & Universities
Frequently Asked Questions
How expensive is real estate in Red Bud, IL?
The median home value in Red Bud, IL is roughly $259K. That puts it reasonable relative to the IL statewide average.
What do landlords charge for rent in Red Bud, IL?
Expect rents around $900/mo per month in Red Bud, IL. With home values at $259K, the yield math works out to reasonable levels for rental investors.
What investment strategy works best in Red Bud, IL?
Most investors in Red Bud, IL run a careful cash-flow rentals with hands-on management strategy. It aligns with the 3.0/5 investability profile and the market fundamentals.
Are eviction rules reasonable in Red Bud, IL?
Red Bud, IL falls under IL landlord-tenant law, which is landlord-friendly. That backdrop makes day-to-day property management reasonable.
What kind of market is Red Bud, IL for investors?
Investors tracking Red Bud, IL will find a 3.0/5 rating supported by $259K median home values and $900/mo rents. That profile suits long-term holders targeting predictable returns.
You know 62278 now. You don’t know where it ranks.
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How 62278 ranks in St. Louis, MO-IL
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