Short answer: In Tacoma, WA, the median home value is $500,500 and the median 3-bedroom rents for $2,144/mo (Census ACS 2024). That's a rent-to-price ratio of 0.43%, so it misses the 1% rule and would place #33 among the 50 largest US rental markets (Tacoma is the #99 US city by renter households). With 20% down at 7.32%, FirstDoor scores a median-priced home Pass (−$1,593/mo cash flow).
Key numbers
The 1% rule in Tacoma
Before running a full analysis, many investors check whether rent is at least 1% of price. This is where Tacoma lands.
Across all rentals (not just 3-bedrooms) the ratio is 0.34%. A home renting for the median 3-bedroom rent would need to cost about $214,000 or less to pass.
A typical Tacoma 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) | $2,144 |
| Property tax ($4,703/yr, local median) | −$392 |
| Insurance ($2,500/yr, assumed) | −$208 |
| Vacancy 5% · Maintenance 5% · Management 8% | −$386 |
| Net operating income | $1,158 |
| Mortgage (P&I on $400,400 at 7.32%) | −$2,750 |
| Monthly cash flow | −$1,593 |
What price works in Tacoma?
Price is the lever you control. Holding rent at the Tacoma median, these are the price ceilings for each FirstDoor result.
Takeaways
- Tacoma's 0.43% ratio is well under the 1% rule (it would place #33 among the 50 largest). Most investors here are betting on appreciation, not monthly income.
- A median-priced home here would cost you about $1,593/mo out of pocket after the mortgage and every expense. To break even you'd need to pay about $263,000, 47% below the median.
- Prices are outrunning rents: home values rose 5.6% from 2023 to 2024 while 3-bedroom rent fell 0.7%. The 1% math got tougher.
- Renters already spend a median 34.4% of income on rent, so don't count on big rent increases.
Frequently asked questions
Does Tacoma pass the 1% rule?
No, on typical numbers. The median 3-bedroom gross rent is $2,144/mo and the median home value is $500,500 (Census ACS 2024 1-year), a ratio of 0.43%. To pass at that rent, a home would need to cost about $214,000 or less.
What is the typical rent for a 3-bedroom in Tacoma?
The median gross rent for a 3-bedroom in Tacoma, WA is $2,144 a month, and $1,723 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 fell 0.7% from 2023.
Can you cash flow a rental in Tacoma?
At the median price, not easily. With 20% down at 7.32% and realistic expenses, a $500,500 home renting for $2,144 loses about $1,593/mo. It breaks even at roughly $263,000.
How much cash do you need to buy a typical rental in Tacoma?
About $115,100: a 20% down payment of $100,100 plus closing costs we assume at 3% ($15,000). Lenders often also want several months of reserves. Investment loans commonly need 15–25% down.
Is Tacoma a good place to buy a first rental?
FirstDoor scores a median-priced home in Tacoma 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.
Compare similar markets
Keep learning
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 ($2,500/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.