Investor commentary
St. Louis is for experienced cash-flow operators. Stick to West County and South City B-grade properties; avoid sub-$80k pricing tiers.
How to interpret Saint Louis's rental yield
A 8.1% rental yield in Saint Louis compares favorably to coastal gateway markets (typically 4–5%) and signals meaningful month-one cash flow potential. Always underwrite with the property's actual taxes and insurance — neither tracks national averages perfectly.
Recommended underwriting adjustments
- Reset property taxes to your purchase price, not the seller's basis.
- Add 8% vacancy as baseline; stress to 11% in worst case.
- Budget 8–10% management plus 8% maintenance + capex reserves.
- Verify insurance quotes from at least two carriers before closing.