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

Palm Springs, CA has a median modeled monthly cash flow of $-1,857 and a median cap rate of 2.6%, on a median sold price of $600,000. Prices changed -3.6% 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 2.6%, 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 $600,000 (about $399 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.

$600,000Median sold price

$399Median $/sqft

2.6%Median cap rate

$-1,857Modeled cash flow / mo

-3.6%Appreciation YoY

12.5Months of supply

1,729Active listings

1,661Sold (last 12 mo)

What the Palm Springs numbers say

In Palm Springs, CA, the median home sold for $600,000 (about $399 per square foot), and the typical deal models out to a 2.6% cap rate with a median $-1,857 of monthly cash flow. Sold prices moved -3.6% over the past year. Inventory sits at about 12.5 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 12 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.