Is Palm Springs, CA a good place to invest in rental property?

Palm Springs, CA has a median modeled monthly cash flow of $-1,886 and a median cap rate of 2.5%, on a median sold price of $605,000. Prices changed -3.4% year over year.

What is the average cap rate in Palm Springs, CA?

The median cap rate across recently sold homes in Palm Springs, CA is 2.5%, based on CashFlowRE's rent and expense modeling.

What is the median home price in Palm Springs, CA?

The median sold price in Palm Springs, CA is $605,000 (about $398 per square foot).

Investing in Palm Springs, CA Real Estate

A data-driven snapshot of the Palm Springs, CA rental-property market, built from recently sold homes and CashFlowRE's per-listing investment modeling — median price, cap rate, monthly cash flow, appreciation and inventory — so you can judge the market before you ever open a listing.

$605,000Median sold price

$398Median $/sqft

2.5%Median cap rate

$-1,886Modeled cash flow / mo

-3.4%Appreciation YoY

15.2Months of supply

2,035Active listings

1,604Sold (last 12 mo)

What the Palm Springs numbers say

In Palm Springs, CA, the median home sold for $605,000 (about $398 per square foot), and the typical deal models out to a 2.5% cap rate with a median $-1,886 of monthly cash flow. Sold prices moved -3.4% over the past year. Inventory sits at about 15.2 months of supply — a looser, buyer-friendly market. These are medians across recorded sales; individual properties vary widely, which is exactly what CashFlowRE scores listing by listing.

🔨 See 10 fix-and-flip deals in Palm Springs — listings where the estimated after-repair value beats list price + rehab.

Other California markets to compare

See Palm Springs cash-flowing listings

CashFlowRE ranks every for-sale home in Palm Springs, CA by cap rate, cash-on-cash return, DSCR and monthly cash flow — so the best rental deals rise to the top. Create a free account to screen Palm Springs deals, or browse the national market data.