Under $200K Investment Properties for Sale in Iowa City, IA

Iowa City, IA offers strong investment potential in homes under $200k, particularly condos and townhomes ideal for rentals near the University of Iowa. Stable **rental yields** around 7-8% and **cap rates** of 6-7% make these properties attractive for cash-flow focused investors. The area's **renter-occupied** rate exceeds 40%, driven by students and professionals, supporting consistent demand. Annual **appreciation** of 3-4% adds long-term value, while **average rents** of $1,100 provide reliable income. Proximity to major employers and education hubs ensures low vacancy risks.