Real Estate Investing in Rehoboth Beach, Delaware (19971)
Should you buy in 19971 (Rehoboth Beach, DE)? 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: 54.2% of homes vacant — above national norms.
- High price-to-rent: Price-to-rent ratio 49.3 — hard to cash-flow at these prices.
What’s happening in Rehoboth Beach, DE (19971)?
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Market Analysis: 19971 Rehoboth Beach
Investors eyeing 19971 need to respect the fundamentals at play. Home values of $852K come alongside slower price movement and elevated management overhead.
Distressed does not mean uninvestable. It means the margin for error is thinner. ZIP 19971 rewards the prepared, punishes the overconfident, and leaves the math unchanged either way.
Within DE, ZIP 19971 trails on several market indicators that neighboring Sussex County submarkets outperform. The gap is real and substantial enough to shape underwriting.
The 19971 ZIP's population of 15,528 has faced economic pressure over the last decade. That pressure shows up in rent delinquency patterns that posts the need for careful underwriting.
The 19971 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 Rehoboth Beach:
Property Strategy for 19971
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $486,413 | $1,600 | 2.4% | +9.1% | $243,207 |
| 3BR | $646,196 | $2,010 | 2.2% | +6.8% | $215,399 |
| 4BR | $1,007,064 | $2,480 | 1.8% | +8.3% | $251,766 |
| 5BR | $1,854,082 | — | — | +11.0% | $370,816 |
Market Trends
Home Value History (with trend line)
📊 How Does 19971 Compare?
| Metric | 19971 | Rehoboth Beach | Salisbury, MD-DE | Delaware |
|---|---|---|---|---|
| Home Value | $851,563 | $851,563 | N/A | $397,840 |
| 5-Year CAGR | 3.2% | 3.2% | N/A | 6.7% |
| Avg Rent | $1,440 | $1,440 | N/A | - |
| Cap Rate | 1.3% | 1.3% | - | - |
Similar ZIPs Within 25 Miles
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Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 19971 (Rehoboth Beach, DE). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $851,563 |
| Monthly Rent | $1,440 |
| Price-to-Rent | 49.3:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 2.0% |
| Cap Rate | 1.3% |
| 5-Year IRR | 4.5% |
📈 Home Appreciation
| 1-Year | +1.5% ▲ |
| 3-Year CAGR | -1.9% ▼ |
| 5-Year CAGR | +3.2% ▲ |
| 10-Year CAGR | +4.4% ▲ |
🏠 Rent Trends
| 1-Year | N/A |
| 3-Year CAGR | N/A |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.5%) exceeds the estimated cap rate (1.3%). 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 19971
Population: 15,528
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 19971
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
What is the median home value in Rehoboth Beach, DE?
Expect median prices around $852K in Rehoboth Beach, DE. The market has run at a 0.0% 5-year CAGR, so entry costs have been stable.
How strict are landlord regulations in Rehoboth Beach, DE?
Rehoboth Beach, DE operates under DE law, which is balanced overall for landlords. Expect consistent treatment in typical lease and eviction cases.
What investment strategy works best in Rehoboth Beach, DE?
In Rehoboth Beach, DE the significant play is typically careful cash-flow rentals with hands-on management. The combination of $852K prices and $1,440/mo rents suits that approach.
Is real estate in Rehoboth Beach, DE a good investment right now?
Rehoboth Beach, DE rates 2.0/5 for investability. With median values at $852K and rents near $1,440/mo, the market offers reasonable fundamentals for rental investors.
What is the average monthly rent in Rehoboth Beach, DE?
Expect rents around $1,440/mo per month in Rehoboth Beach, DE. With home values at $852K, the yield math works out to reasonable levels for rental investors.
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