Cayman Islands Real Estate Analytics

Property market metrics including price-to-income ratio, rental yields, and price trends

Price to Income

11.0x

Ratio of property prices to annual income

Rental Yield

3.9%

Average annual rental return

Price to Rent

25.7

Ratio of property prices to annual rent

Price to Income Ratio

Ratio of median house price to median annual household income

Rental Yield

Annual rental income as percentage of property value

Price to Rent Ratio

Ratio of property price to annual rental income

Building Permits

Number of building permits issued

Additional Insights

Expert analysis of Cayman Islands Real Estate trends and investment implications

Market Overview

The Cayman Islands property market presents a mixed scenario for investors with its relatively high price-to-income ratio and moderate rental yields. While the market has shown consistent historical growth, current metrics suggest caution due to potential overheating. Investors should carefully evaluate timing and expected returns amidst these dynamics.

Key Findings

Data-driven insights

•Price to Income Ratio: At 11, indicating a high level of unaffordability compared to global benchmarks.
•Gross Rental Yield: 3.9%, which is modest and may not outpace inflation or interest rates.
•Price to Rent Ratio: 25.7, suggesting that renting may be more economical than buying.
•Historical Price Growth: The market has experienced steady appreciation, but current ratios suggest a possible market peak.

Market Trends

Historical patterns

•Steady appreciation in property values over the last century with occasional corrections.
•Increasing international demand leading to higher property prices but also greater volatility.
•Recent tightening of affordability as indicated by a high price-to-income ratio.

For Investors

Actionable takeaways

•Consider waiting for a potential market correction before purchasing to avoid buying at a peak.
•Target properties with higher rental yields than the average 3.9% to ensure better returns.
•If investing, focus on areas with potential for higher appreciation or rental demand.
•Monitor interest rate trends closely, as rising rates could impact both affordability and yields.

Market Context

The Cayman Islands property market is well-developed with a strong history of international interest and investment. However, its high price-to-income ratio and modest rental yields require investors to be strategic about timing and property selection to maximize returns.

💡 Insights based on historical data. Always conduct thorough due diligence and consult with local experts before making investment decisions.