A median-priced Las Vegas rental property does not cash flow in 2026 with a conventional down payment. The median existing single-family home sold for $480,000 in July 2026, and the median residential rental leased for $2,100 per month — both figures through the Las Vegas REALTORS MLS in the same month (Source: Las Vegas REALTORS · July 2026). That is a monthly rent-to-price ratio of 0.44%, less than half the 1% rule investors use as a screen. Financed at 25% down, the property runs roughly $1,400 per month negative once debt service, property tax, insurance, management, vacancy and maintenance are all counted. Bought all cash, it yields about 2.6%. Here is the arithmetic, line by line, so you can run it against a specific address instead of a slogan.
The Ratio: What $480,000 Buys and What It Rents For
Most articles about Las Vegas rental yield mix sources — a Zillow price against a Zumper rent — which quietly builds an error into the ratio. Both numbers below come from the same MLS in the same month.
The median price of an existing single-family home sold in Southern Nevada in July 2026 was $480,000, down 1.0% from July 2025 and 2.0% off the all-time high set in May and June. Condos and townhomes had a median of $290,000, flat against a year earlier. There were 7,442 single-family homes listed without offers, up 4.1% year over year, and the sales pace worked out to nearly a four-month supply (Source: Las Vegas REALTORS · July 2026).
On the rental side of the same MLS, the median leased rate in July 2026 was $2,100 per month, up from $2,050 in June and up 0.2% from $2,095 in July 2025. The average leased rate was $2,384, down 1.7% year over year. Landlords signed 2,199 leases in July, 6.6% more than a year earlier, and the trailing twelve months covered 24,055 leases at a $2,002 median (Source: Las Vegas REALTORS residential rental data · July 2026).
Two things follow. Rents are flat, not falling — demand is intact. And $2,100 against $480,000 is a 0.44% monthly ratio, or a gross rent multiplier of roughly 19x. That ratio, not the market's mood, is what decides whether a deal pencils.
The Full Monthly Math on a Median Las Vegas Rental
Take the median home at $480,000 with 25% down — a $120,000 down payment and a $360,000 loan.
The 30-year fixed averaged 6.67% in the week of August 13, 2026, down from 6.69% the prior week and up from 6.58% a year earlier (Source: Freddie Mac Primary Mortgage Market Survey · August 2026). That survey measures conventional, conforming purchase loans for borrowers putting 20% down with excellent credit — an owner-occupant benchmark. Investment-property financing prices above it, so this model assumes 7.25%, which puts principal and interest at $2,456 per month.
Property tax next, and this is where most napkin math goes wrong. Clark County assesses at 35% of taxable value and applies a rate per $100 of assessed value — in tax district 200, 3.2782, which the county illustrates with a $200,000 home producing a $2,294.74 annual bill (Source: Clark County Assessor · 2026). Run that formula on a $480,000 taxable value and you get $5,507 a year, or $459 per month. Treat that as the ceiling: the assessor's taxable value is replacement cost less depreciation plus land, so actual bills often land lower. At a $400,000 taxable value the monthly figure drops to $382 — enough to move the number, not enough to change the answer.
Insurance in Nevada averages $1,633 a year at $350,000 of dwelling coverage, with Las Vegas specifically at $1,713 — about 32% below the $2,395 national average (Source: ValuePenguin · 2026). Call it $143 per month.
The last three lines are underwriting assumptions, not market statistics, and you should set them yourself: management at 8% of rent ($168), vacancy at 5% ($105), and maintenance and capital reserves at 8% ($168).
| Line | Monthly |
|---|---|
| Rent (median leased, LVR July 2026) | $2,100 |
| Principal & interest (7.25% on $360K) | −$2,456 |
| Property tax (county formula, ceiling) | −$459 |
| Insurance | −$143 |
| Management (8%) | −$168 |
| Vacancy (5%) | −$105 |
| Maintenance & capex (8%) | −$168 |
| Net | −$1,399 |
That is −$16,788 a year on a $120,000 down payment — a negative 14% cash-on-cash return. Even at the owner-occupant rate of 6.67%, the shortfall is still about $1,259 a month. The rate is not the problem. The ratio is.
What Cash-on-Cash Actually Looks Like Without the Loan
Strip the mortgage out and the picture gets clearer. Operating expenses total $1,043 a month, leaving net operating income of $1,057 — $12,684 a year. Against a $480,000 purchase, that is a 2.64% unlevered return. Use the lower tax assumption and it rises to 2.84%. Either way it starts with a two.
That is the honest gap between the 4–6% cap rates quoted around the valley and the median deal. Those higher figures are generally computed on lower-priced product, or on a spreadsheet that omits management, vacancy or capital reserves. Take out the three reserve lines and this same property "shows" 5.1%. The building did not change; the assumptions did.
The more useful version of the question is how much equity it takes to break even. At 7.25%, $1,057 of monthly NOI supports a loan of about $155,000 — meaning roughly $325,000 down, or 68% of the purchase price, before the property stops losing money each month. At 6.67% it is about 66%. Two-thirds down is the break-even, and that is the single number most Las Vegas investor content leaves out.
The Property Tax Cap That Flips When You Rent It Out
Clark County applies a 3% annual abatement cap to an owner's primary residence. A cap of up to 8% applies to residences that are not owner-occupied, along with land, commercial buildings and business personal property (Source: Clark County · 2026). Converting a home you live in into a rental moves it from the first bucket to the second.
The cap is a ceiling on the increase, not a forecast of one — but it is the ceiling you should underwrite against on a ten-year hold, and almost nobody models it. There is also a documented exit: rentals charging at or below HUD maximum market rents for Clark County can file a rental affidavit to qualify for the 3% cap. If your rent sits near that threshold, the affidavit is worth the paperwork.
Do Condos Fix the Math?
On the ratio, they start ahead. The $290,000 median condo against an average two-bedroom rent of $1,579 (Source: RentCafe · August 2026) pencils at 0.54% monthly versus 0.44% for the median house. Property tax on the county formula runs $277 a month, and management, vacancy and reserves take another $331, leaving about $971 before HOA dues and insurance.
Then the dues arrive. At $350 a month, net operating income falls to $621 — about 2.57% on $290,000, which is the single-family number again. Las Vegas HOA costs are a stack, not a single line: most master-planned homes pay a master assessment plus a separate sub-association fee, and only the first is easy to look up. Our breakdown of Las Vegas HOA fees walks through where those numbers actually live. The condo's ratio advantage is real; whether you keep any of it depends entirely on one line in the resale package.
Where the Numbers Get Better
The median is a screen, not a verdict. Yields improve where the entry price falls faster than the rent does, which in this valley means the older and outer submarkets rather than the marquee ones. North Las Vegas and Enterprise have historically offered the valley's lowest entry points, while Summerlin and Henderson trade current yield for appreciation and tenant quality — both carry medians well above the valley's $480,000, which pushes the ratio further from 1%, not closer.
Rent does vary meaningfully by pocket. RentCafe's August 2026 neighborhood data puts The Crossing at $2,220 and Centennial Point at $1,959, against a $1,474 valley-wide apartment average (Source: RentCafe · August 2026). But do not buy a submarket on a reputation for cash flow. Pull the actual asking rent for the specific floor plan, divide by the actual purchase price, and see whether the result clears 0.6%. If it does not, the deal is an appreciation bet — which is a legitimate strategy in a market with no state income tax on rental income, but it is a different strategy than the one most buyers think they are executing. For the wider strategic picture, start with our guide to Las Vegas real estate investing in 2026.
Frequently Asked Questions
Does a median-priced Las Vegas rental property cash flow in 2026? Not with a conventional 25% down payment. Against a $480,000 median price and a $2,100 median rent, a financed purchase runs roughly $1,400 per month negative after debt service, taxes, insurance, management, vacancy and maintenance. You need close to two-thirds down before the property breaks even on cash flow.
What is the rent-to-price ratio in Las Vegas right now? About 0.44%. The median existing single-family home sold for $480,000 in July 2026 and the median leased rental went for $2,100 per month, both through the Las Vegas REALTORS MLS. That is well under the 1% rule investors use as a cash-flow screen, and it works out to a gross rent multiplier of roughly 19x.
What cash-on-cash return can I expect on a Las Vegas rental? On the median home bought all cash, roughly 2.6% before appreciation and tax benefits. Leverage makes that number worse, not better, because financing costs more than the property earns. Lower-priced submarkets and properties bought below median improve it — the median is the screen, not the ceiling.
Do property taxes change when I turn a Las Vegas home into a rental? The abatement cap does. Clark County applies a 3% annual cap to an owner's primary residence and a cap of up to 8% to residences that are not owner-occupied. Rentals charging at or below HUD maximum market rents for Clark County can file a rental affidavit to qualify for the 3% cap instead.
Do condos cash flow better than houses in Las Vegas? On the ratio alone, yes — a $290,000 median condo against typical two-bedroom rents pencils closer to 0.54% versus 0.44% for houses. HOA dues then consume most of that advantage. At around $350 a month in dues the condo lands within a rounding error of the single-family return.
Is Las Vegas still worth investing in if the cash flow is negative? It depends on what you are buying it for. Las Vegas in 2026 underwrites as an appreciation and tax-position market, not a monthly-income market. Nevada charges no state income tax on rental income, inventory has loosened, and rents have held flat rather than fallen — but anyone buying for monthly income needs a lower basis or a much larger down payment.
Frequently Asked Questions
Does a median-priced Las Vegas rental property cash flow in 2026?
Not with a conventional 25% down payment. Against a $480,000 median price and a $2,100 median rent, a financed purchase runs roughly $1,400 per month negative after debt service, taxes, insurance, management, vacancy and maintenance. You need close to two-thirds down before the property breaks even on cash flow.
What is the rent-to-price ratio in Las Vegas right now?
About 0.44%. The median existing single-family home sold for $480,000 in July 2026 and the median leased rental went for $2,100 per month, both through the Las Vegas REALTORS MLS. That is well under the 1% rule investors use as a cash-flow screen, and it works out to a gross rent multiplier of roughly 19x.
What cash-on-cash return can I expect on a Las Vegas rental?
On the median home bought all cash, roughly 2.6% before appreciation and tax benefits. Leverage makes that number worse, not better, because financing costs more than the property earns. Lower-priced submarkets and properties bought below median improve it — the median is the screen, not the ceiling.
Do property taxes change when I turn a Las Vegas home into a rental?
The abatement cap does. Clark County applies a 3% annual cap to an owner's primary residence and a cap of up to 8% to residences that are not owner-occupied. Rentals charging at or below HUD maximum market rents for Clark County can file a rental affidavit to qualify for the 3% cap instead.
Do condos cash flow better than houses in Las Vegas?
On the ratio alone, yes — a $290,000 median condo against typical two-bedroom rents pencils closer to 0.54% versus 0.44% for houses. HOA dues then consume most of that advantage. At around $350 a month in dues the condo lands within a rounding error of the single-family return.
Is Las Vegas still worth investing in if the cash flow is negative?
It depends on what you are buying it for. Las Vegas in 2026 underwrites as an appreciation and tax-position market, not a monthly-income market. Nevada charges no state income tax on rental income, inventory has loosened, and rents have held flat rather than fallen — but anyone buying for monthly income needs a lower basis or a much larger down payment.
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