property
Lakewood Named the Suburb with the Highest Rental Yield for Investors
Lakewood delivered a 7.8 percent average gross rental yield in the second quarter, outpacing other Cleveland suburbs.
How we reported this
Lakewood posted the highest rental yield among Cleveland suburbs in the second quarter of 2026 at 7.8 percent. Properties along Detroit Avenue and near Lakewood Park produced the strongest returns for landlords who bought in 2024 and 2025.
The result matters now because Cleveland home prices have flattened after two years of gains while rents continue to climb. Investors who locked in purchases before spring 2026 now face tighter lending but can offset higher mortgage costs with steady tenant demand from workers at nearby medical and manufacturing sites.
Two blocks south of Lakewood Park, a three-bedroom house on Marlowe Avenue sold for $268,000 in May and now rents for $2,150 a month. Further east, units above storefronts on Detroit Avenue between Bunts and Warren roads attract nurses and technicians from the Cleveland Clinic’s Lakewood Family Health Center. The Greater Cleveland Partnership’s workforce housing program lists Lakewood as a priority zip code for new rental stock.
Yield Data and Price Trends
Cuyahoga County Fiscal Office records released June 30 show Lakewood’s median sale price at $279,500 for single-family homes, down 1.4 percent from the same month last year. Average monthly rent across 1,240 reported leases reached $1,980. That combination produced the 7.8 percent gross yield, ahead of Cleveland Heights at 6.9 percent and Shaker Heights at 6.4 percent. The county auditor’s office counted 312 new rental registrations in Lakewood between January and June.
Next Steps for Buyers
Investors should review listings through the Lakewood Chamber of Commerce network before the August school-year rush. Properties within a half-mile of the West 117th Street rapid station continue to clear in under 12 days when priced under $300,000. Local lenders report 30-year investment loans at 6.75 percent for borrowers with credit scores above 720. Buyers who close by Labor Day can still capture the current rent schedule before winter renewals.
This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.