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Memphis, TN | City Real Estate Market Analysis

Memphis, Shelby County, Tennessee
City Analysis Real Estate Market TN Shelby County
Memphis
Market Insight

Memphis, TN Investment Potential Analysis

Market analysis for Memphis, TN will appear here once data is available. This section will surface investment opportunities, risk assessments, neighbourhood trends, and local real estate insights specific to this market.

Avg. Home Value
🏠 Median residential property value in Memphis.
4.35%
Property Tax Rate
🏛️ Effective property tax rate for this market.
$36,912
Avg. Household Income
💵 Average annual household income in the area.
650,932
Population
👥 Total city population estimate.
Unemployment Rate
📊 Local unemployment vs. national benchmark.

Memphis, TN Real Estate Market Property Overview

  • Real estate market overview for Memphis, TN, Shelby County
  • Population of 650,932
  • Average household income of $36,912
  • Property tax rate of 4.35%
  • Median resident age of 33.20

Property Details

City Memphis State Tennessee
County Shelby Country USA
Population 650,932 Median Age 33.20
Avg. Household Income $36,912 Median Home Value N/A
Unemployment Rate N/A Property Tax Rate 4.35%
Top Industries N/A Economic Overview N/A
Coordinates 35.1087, -89.9663 Properties Listed 0

Model investment returns using Memphis, TN market data as defaults

25%
5.0%
30 years
4.35%
5 years
3.0%
Down Payment Amount:$125,000
Loan Amount:$375,000
Monthly Mortgage:$2,012
Monthly Tax:$490
Total Monthly Payment:$2,502
Monthly Cash Flow:$581
Cash on Cash Return:5.6%
Cap Rate:5.0%
Debt Coverage Ratio:1.23x
IRR (5 years):8.4%
Projected Property Value:$579,637
Total Equity:$234,891
📊Monthly Payment Analysis

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💵Cash on Cash Return

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🚀Internal Rate of Return

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🏛️Property Tax Analysis

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* Calculations use Memphis, TN median home value as the default purchase price. All figures are estimates only. Consult financial and legal professionals before investing.

Capital Allocation Comparison

Direct ownership vs. passive CRE platform exposure

Compare the same starting capital across two allocation paths: direct property ownership with operational responsibility, debt exposure, and single-asset concentration, versus a professionally managed REI Capital platform strategy built around institutional underwriting and a 9% target annual growth projection.

Direct Property Ownership
  • Concentrated exposure to one property and market
  • Debt service, refinancing, and rate sensitivity
  • Active leasing, vendor, and asset oversight
  • Vacancy, capex, and maintenance obligations
  • Illiquid exit process with timing risk
  • Transaction costs can compress realized returns
Projected direct ownership outcome Calculating…
VS
REI Capital Platform Exposure
  • Passive exposure without direct operator liability
  • Institutional underwriting and acquisition discipline
  • Professional asset management and reporting
  • Strategy designed to reduce single-asset concentration
  • 9% annual target growth projection for comparison
  • Curated deal flow with a passive capital framework
Projected platform exposure at 9% target Calculating…
Projected difference

Calculating the comparison…

* REI Capital Growth uses a 9% target annual growth projection for comparison only. Returns are not guaranteed and actual results may vary. Consult a financial professional before making investment decisions.

Who This Is Designed For

Built for investors evaluating passive commercial real estate exposure

REI Capital is positioned for investors who want institutional-quality underwriting, disciplined capital deployment, and real estate exposure without managing the asset directly.

Accredited Investors

Deploy capital into a professionally managed real estate strategy without taking on daily operator responsibilities.

Family Offices

Evaluate long-duration CRE exposure with an emphasis on underwriting discipline and capital preservation.

1031 Exchange Buyers

Compare direct replacement ownership against passive alternatives with reduced operational complexity.

High-Income Professionals

Access commercial real estate exposure while preserving time, focus, and liquidity for core priorities.

Where Your NOI Goes Each Month

* Distribution based on current inputs. Actual expenses may vary.

ROI Over Time: Direct Ownership vs REI Capital

* Property return uses a conservative 3.8%–4.2% annual capital appreciation assumption. REI Capital uses a 9% target projection. Returns are not guaranteed.

Deployment Scenario Analysis

Your Down Payment: Direct Ownership vs REI Capital Platform Exposure

Same starting capital. Compare a direct ownership path against passive capital deployment through REI Capital.

Direct ownership (3.8%–4.2% appreciation) REI Capital (9% target)

* "Direct ownership" shows the same down payment growing at the selected 3.8%–4.2% annual capital appreciation rate. "REI Capital" shows the same down payment growing at 9% annual target. Returns are not guaranteed.

Allocation Rationale

Why sophisticated investors choose passive CRE exposure

Direct ownership can be powerful, but it also concentrates capital, time, and execution risk into one asset. Passive CRE exposure helps investors participate in professionally managed real estate strategies while reducing the operational burden of owning the property themselves.

  • Professional underwriting before capital deployment
  • Reduced exposure to single-asset operational demands
  • Access to institutional sourcing and asset management
  • Passive framework built for long-term capital strategy
  • Clearer comparison against direct ownership costs
  • Time-efficient exposure for qualified investors
Investor Materials

A more efficient way to deploy capital

The analysis above is only the starting point. Review the REI Capital investment materials to understand the acquisition strategy, underwriting framework, risk controls, and investor onboarding process behind the 9% target projection.

  • Acquisition strategy & deal flow
  • Underwriting and risk framework
  • Platform team and execution process
  • Investor qualification and next steps
Access Investment Materials

For qualified investors · Private overview · PDF access

Investment Due Diligence For Memphis, TN Income Property

Key questions for informed investment decisions

What is the overall investment potential of Memphis, TN, considering its demographics and economy? +
Memphis, TN, with a population of 650,932 and a median age of 33.2, presents a diverse market. The city's top industries, including Information, Finance & Insurance, and Public Administration, contribute to its economic stability. However, the 25.6% poverty rate and a GINI coefficient of 0.504 indicate income inequality, which investors should consider when assessing rental yields and property appreciation.
How does the ethnic diversity and foreign-born rate impact the real estate market in Memphis? +
The ethnic diversity in Memphis, with Black (47.9%), White (21.2%), and White Non-Hispanic (19.0%) populations, and a foreign-born rate of 6.5%, suggests a culturally rich and potentially resilient market. This diversity, combined with top industries like Finance & Insurance and Public Administration, may support a stable demand for housing.
What are the implications of the city's commute time, health insurance rate, and poverty rate for real estate investors? +
The 21.4-minute average commute time and 84.4% health insurance coverage in Memphis indicate a relatively stable and healthy workforce. However, the 25.6% poverty rate suggests that investors should carefully evaluate the financial stability of potential tenants, considering the balance between affordability and rental income potential.
How do the median property value, property taxes, and homeownership rate influence the investment landscape in Memphis? +
With a median property value of $95,900 and median property taxes of $125,169, Memphis offers relatively affordable investment opportunities. The 47.4% homeownership rate suggests a balanced market between owners and renters, which can be attractive for investors looking to capitalize on rental yields, especially in a city with a diverse economy and growing industries.
What role do education, safety, and the overall quality of life play in determining the attractiveness of Memphis as an investment destination? +
While Memphis faces challenges such as a violent crime rate of 748.4 per 100,000 and an obesity rate of 35.6%, its high school graduation rate of 83.2% and bachelor's degree or higher rate of 24.1% indicate a workforce with potential for growth. Investors should weigh these factors against the city's economic and demographic advantages to assess the long-term viability of their investments.
What are some of the best neighborhoods to live in Memphis? +
Some of the best neighborhoods to live in Memphis include Cooper-Young, Crosstown, Farmington, Kimbrough, Brierbrook, Neshoba, East Memphis, Germantown, Collierville, and Belle Meade. Each neighborhood has its own unique character and advantages, so it's worth researching to find the one that best fits your needs and preferences.
What are some fun things to do in Memphis? +
Memphis has a wide range of attractions and activities to enjoy, including visiting Graceland, Beale Street, the National Civil Rights Museum, Memphis Zoo, Sun Studio, and the Memphis Rock 'n' Soul Museum. You can also explore the city's many museums, music venues, and outdoor spaces, such as Overton Park and the Mississippi River waterfront.
What is the food scene like in Memphis? +
Memphis is known for its barbecue, but the city's food scene is much more diverse than that. You can find great soul food, Southern cuisine, and international restaurants throughout the city, as well as a thriving scene of new restaurants, bars, and coffee shops. Some popular spots include Central BBQ, Itta Bena, Gibson's Donuts, and B.B. King's Blues Club.
What are the pros and cons of living in Memphis? +
Memphis has a lot to offer, including a rich music scene, a vibrant cultural landscape, and a relatively low cost of living. However, the city also faces challenges such as high crime rates and poverty. Additionally, some neighborhoods are still recovering from disinvestment and neglect. On the other hand, Memphis has a strong sense of community and a growing number of new businesses and initiatives that are working to revitalize the city.
Is Memphis a good place to live? +
Whether or not Memphis is a good place to live depends on your individual priorities and preferences. If you value a vibrant cultural scene, a rich history, and a relatively low cost of living, Memphis may be a great fit for you. However, if you're concerned about safety or prefer a more polished, upscale urban environment, you may want to consider other options. Ultimately, Memphis is a city with a lot of heart and a strong sense of community, and it can be a great place to call home if you're willing to look beyond its rough edges.

Things Near Memphis, TN

Metro Center Station

0.2 miles

Grand Central Market

0.4 miles

About Memphis

Memphis, TN is a city that tends to have a mix of opportunities and challenges for investors. With a population of 650,932 and a median age of 33.2, the city has a diverse demographic profile, including a high percentage of Black residents (47.9%) and a significant foreign-born population (6.5%). The median household income is $36,912, which is relatively low, and the poverty rate is 25.6%, which suggests some risk for investors. However, the city's top industries, including Information, Finance & Insurance, and Public Administration, provide a stable economic base. The average commute time is 21.4 minutes, which is relatively short, and the health insurance coverage rate is 84.4%, which is a positive indicator of the city's quality of life. The homeownership rate is 47.4%, which is relatively low, but the median property value is $95,900, which could make it an attractive option for investors. Overall, Memphis presents a complex picture for investors, with both opportunities for growth and challenges to be addressed. The city's high poverty rate and income inequality (GINI coefficient of 0.504) are concerns, but the diverse economy and relatively low cost of living could make it an attractive option for those looking to invest in a city with potential for growth. The commute time and health insurance coverage rate are also positives, suggesting a relatively high quality of life for residents. However, investors should carefully consider the city's challenges and develop strategies to mitigate them.

Population 650,932
Median Age 33.20
Avg. Household Income $36,912
Investor Materials

Access the REI Capital investment overview

Review the acquisition strategy, underwriting framework, risk considerations, and investor onboarding process in one private PDF.

Access Investment Materials