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Best Neighborhoods in Memphis, TN for Rental Property Investors
City Median Price
$180,000
City Median Rent
$1,100/mo
City DSCR (75% LTV)
1.01
Neighborhoods
7
Memphis remains one of the strongest cash flow markets in the country with median home prices well below the national average. The city benefits from a large renter population, major logistics employers like FedEx, and steady demand across working-class neighborhoods.
Whitehaven
ZIP: 38109Whitehaven is a historically significant area near Graceland with affordable entry points and strong rental demand from working-class tenants. Investors should budget for deferred maintenance on older housing stock but can achieve excellent cash-on-cash returns.
Hickory Hill
ZIP: 38115Hickory Hill offers some of the highest rent-to-price ratios in the metro area. The neighborhood has a diverse tenant base and proximity to distribution centers that provide stable employment. Value-add renovations on distressed properties can yield significant equity gains.
Raleigh
ZIP: 38128North Memphis Raleigh area provides deep value opportunities with properties frequently available below replacement cost. Tenant demand is consistent due to proximity to industrial employers along the I-40 corridor.
Cordova
ZIP: 38018Cordova is a suburban community east of Memphis with highly rated schools and newer construction. Properties attract quality long-term tenants including young professionals and families, resulting in lower turnover and fewer maintenance calls.
Bartlett
ZIP: 38134Bartlett is an established suburb with strong school ratings and low crime. Rental properties here attract stable tenants willing to sign multi-year leases. Appreciation has been modest but consistent over the past decade.
Frayser
ZIP: 38127Frayser is one of the most affordable entry points in the Memphis market with properties regularly trading under six figures. Investors focused on pure cash flow will find strong cap rates here, though property management quality is critical to success.
Cooper-Young
ZIP: 38104Cooper-Young is a trendy midtown neighborhood with walkable restaurants and nightlife. Short-term rental regulations are favorable here, and the area attracts tourists and business travelers. Appreciation potential is above average for Memphis.
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