Short answer: In Buffalo, NY, the median home value is $187,000 and the median 3-bedroom rents for $1,217/mo (Census ACS 2024). That's a rent-to-price ratio of 0.65%, so it misses the 1% rule and would place #5 among the 50 largest US rental markets (Buffalo is the #65 US city by renter households). With 20% down at 7.32%, FirstDoor scores a median-priced home Pass (−$240/mo cash flow).
Key numbers
The 1% rule in Buffalo
A quick screen many investors start with: is monthly rent at least 1% of the price? In Buffalo, here's the answer on typical numbers.
Across all rentals (not just 3-bedrooms) the ratio is 0.61%. A home renting for the median 3-bedroom rent would need to cost about $122,000 or less to pass.
A typical Buffalo home, scored
We took a home at the median value, gave it the median 3-bedroom rent, and ran it through the same math as the FirstDoor calculator: 20% down, a 30-year loan at 7.32%, the city's median tax rate, and standard expense budgets.
| 3-bedroom rent (median) | $1,217 |
| Property tax ($1,528/yr, local median) | −$127 |
| Insurance ($1,000/yr, assumed) | −$83 |
| Vacancy 5% · Maintenance 5% · Management 8% | −$219 |
| Net operating income | $787 |
| Mortgage (P&I on $149,600 at 7.32%) | −$1,028 |
| Monthly cash flow | −$240 |
What price works in Buffalo?
Same rent, different prices. Here's the most you could pay in Buffalo for each result, keeping the median 3-bedroom rent and local tax rate.
Takeaways
- At 0.65%, Buffalo is near the top of the list (it would place #5 among the 50 largest) but still short of 1%. Deals here can work if you buy below the median.
- A median-priced home here would cost you about $240/mo out of pocket after the mortgage and every expense. To break even you'd need to pay about $148,000, 21% below the median.
- Rents are outrunning prices: the median 3-bedroom rent rose 10.2% from 2023 to 2024 while values rose 7.3%. That slowly improves the math for buyers.
- The rental market is tight: only 3.6% of rentals sit vacant (US: 5.7%). Good units should lease quickly.
Frequently asked questions
Does Buffalo pass the 1% rule?
No, on typical numbers. The median 3-bedroom gross rent is $1,217/mo and the median home value is $187,000 (Census ACS 2024 1-year), a ratio of 0.65%. To pass at that rent, a home would need to cost about $122,000 or less.
What is the typical rent for a 3-bedroom in Buffalo?
The median gross rent for a 3-bedroom in Buffalo, NY is $1,217 a month, and $1,142 across all rentals (Census ACS 2024 1-year). Gross rent includes utilities the renter pays, so the landlord's share can be a bit lower. The 3-bedroom median rose 10.2% from 2023.
Can you cash flow a rental in Buffalo?
At the median price, not easily. With 20% down at 7.32% and realistic expenses, a $187,000 home renting for $1,217 loses about $240/mo. It breaks even at roughly $148,000.
How much cash do you need to buy a typical rental in Buffalo?
About $43,000: a 20% down payment of $37,400 plus closing costs we assume at 3% ($5,600). Lenders often also want several months of reserves. Investment loans commonly need 15–25% down.
Is Buffalo a good place to buy a first rental?
FirstDoor scores a median-priced home in Buffalo as Pass (0 of 8 points). That's a starting point, not a verdict on every listing: neighborhoods vary, and buying below the median changes the math. Run any listing through the free calculator.
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Sources
Data: U.S. Census Bureau, 2024 American Community Survey 1-year estimates (released September 2025); year-over-year changes compare with 2023. Mortgage rate: Freddie Mac PMMS, week of October 22, 2026. Retrieved October 15, 2026. Insurance ($1,000/yr), closing costs (3%), maintenance (5%) and management (8%) are FirstDoor assumptions, not local data. Investment-property loans often price above the PMMS average. Medians describe the whole city, not any one home. Educational content, not financial advice.