Cap Rate for New Hampshire (2026)

How This Calculator Works in New Hampshire

This cap rate calculator helps you evaluate the return potential of investment properties in New Hampshire. Enter the property's value, annual rental income, and operating expenses to instantly calculate the cap rate. Compare your result against New Hampshire's average of 5.5% to see how a specific property stacks up. The calculator is pre-loaded with New Hampshire averages for quick estimates.

New Hampshire Overview

The average cap rate in New Hampshire is 5.5%, with median property values of $300,000 and average 1BR rents of $1,200/month. New Hampshire is landlord-friendly, which reduces regulatory risk for investors. Without statewide rent control, New Hampshire allows market-rate rent adjustments that can improve cap rates over time.

How New Hampshire Compares

New Hampshire's cap rate of 5.5% is near the national mid-range. Neighboring Vermont has a cap rate of 5.5% and Maine is at 5.8%. Investors often diversify across states with different cap rate profiles to balance cash flow and appreciation.

New Hampshire's average cap rate of 5.5% places it in balanced market territory. Nationally, cap rates range from about 3.5% in expensive coastal markets to 8% or more in affordable Midwest and Southern states. Higher cap rates indicate better cash-flow returns, while lower cap rates often come with stronger appreciation potential.

Tips for New Hampshire Residents

• 1The average cap rate in New Hampshire is 5.5%. Cap rate = net operating income / property value. This moderate cap rate in New Hampshire offers a balance of cash flow and potential appreciation.
• 2When calculating cap rate in New Hampshire, deduct all operating expenses: property taxes (1.1%), insurance, maintenance, vacancy, and management fees. Do not include mortgage payments—cap rate measures unleveraged return.
• 3New Hampshire has no rent control, meaning you can raise rents to market rates and improve your cap rate as the local rental market appreciates.
• 4Compare cap rates across New Hampshire neighborhoods. Urban cores often have lower cap rates (higher prices, lower yields) while suburban and secondary markets may offer better returns. A 1-2% cap rate difference on a $300,000 property changes annual net income by $3,000-$6,000.
• 5New Hampshire's landlord-friendly environment reduces operational risk, which is already reflected in cap rates. Lower regulatory risk means investors may accept slightly lower cap rates.

Frequently Asked Questions