Real Estate Investing in Elephant Butte, New Mexico (87935)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 87935 (Elephant Butte, NM)? 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: 50.1% of homes vacant — above national norms.
- Lower household income: $39,746 median — tenant affordability is tighter.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Elephant Butte, NM (87935)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 87935 Elephant Butte
Not every below-median market is a bargain. Elephant Butte's 87935 ZIP shows signals that favor experienced operators who can absorb the risk $243K pricing implies.
For an experienced owner, 87935 can be a a viable market for hunting ground — but the discount at $243K reflects genuine risk that outside investors often underestimate.
Statewide comparisons place 87935 among NM's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.
The 87935 ZIP's population of 1,848 has faced economic pressure over the last decade. That pressure shows up in rent delinquency patterns that shows the need for careful underwriting.
The 87935 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 Elephant Butte:
Property Strategy for 87935
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $221,395 | $1,420 | 4.6% | +10.1% | $110,697 |
| 3BR | $291,300 | $1,970 | 4.9% | +9.7% | $97,100 |
Market Trends
Home Value History (with trend line)
📊 How Does 87935 Compare?
| Metric | 87935 | Elephant Butte | New Mexico |
|---|---|---|---|
| Home Value | $242,644 | $242,644 | $308,799 |
| 5-Year CAGR | 7.0% | 7.0% | 7.3% |
| Avg Rent | $1,278 | $1,278 | - |
| Cap Rate | 4.1% | 4.1% | - |
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 87935 (Elephant Butte, NM). Anonymous, moderated, never written by AI.
Do you own or manage rentals in ZIP 87935 (Elephant Butte, NM)?
~25 seconds · no account needed · your report is anonymous
📊 Market Snapshot
| Home Value | $242,644 |
| Monthly Rent | $1,278 |
| Price-to-Rent | 15.8:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 6.3% |
| Cap Rate | 4.1% |
| 5-Year IRR | 11.1% |
📈 Home Appreciation
| 1-Year | +4.3% ▲ |
| 3-Year CAGR | +5.3% ▲ |
| 5-Year CAGR | +7.0% ▲ |
| 10-Year CAGR | +5.3% ▲ |
🏠 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 (4.1%). 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 87935
Population: 1,848
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 high is vacancy risk in Elephant Butte, NM?
Vacancy risk in Elephant Butte, NM is elevated. That supports predictable cash flow for typical rental holds.
What is the tenant pool like in Elephant Butte, NM?
Expect a solid tenant pool in Elephant Butte, NM. The rental market absorbs $1,278/mo rents without meaningful friction.
Is Elephant Butte, NM better for rentals, flips, or BRRRR?
For Elephant Butte, NM, careful cash-flow rentals with hands-on management is the standard investor playbook. The market structure makes it a reasonable default approach.
Does house hacking work in Elephant Butte, NM?
House hacking in Elephant Butte, NM is reasonable to execute. Prices around $243K and rents of $1,278/mo solid owner-occupant economics.
What do rentals go for in Elephant Butte, NM?
Rental rates in Elephant Butte, NM average $1,278/mo. Tenant demand and $243K home values make the yield look reasonable by investor standards.
You know 87935 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 87935 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.
AI Market Advisor
Ask questions about investing in 87935 (Elephant Butte)
Community Ratings
What people who’ve spent time here actually say. Not paid reviews.
Be the first to rate 87935 (Elephant Butte, NM).
It takes 30 seconds. No signup. Your rating helps everyone who comes here after you.