1st Advantage MortgageA DSCR loan in Murray turns on rent versus payment. Citywide medians from the Census are $870 a month for rent, $195,000 for home value and $1,535 a year for real estate taxes.
What the numbers say about Murray
Start with the two numbers every DSCR file turns on. Rent in Murray runs a median $870 a month (about 10% below the Kentucky median of $967), and the median owner-occupied home is worth $195,000. Annual median rent is about 5.4% of the median home value in Murray. That is on the low side, so the payment, not the rent, usually decides whether a file clears, but it blends every housing type, so a house on a specific street needs its own rent comparables.
| Indicator | Kentucky | Murray | Difference |
|---|---|---|---|
| Annual property tax bill, median | $1,544 | $1,535 | -1% |
| Household income, median | $63,726 | $44,091 | -31% |
| Typical owner-occupied value | $205,600 | $195,000 | -5% |
| Typical monthly rent | $967 | $870 | -10% |
| Share of homes detached | 67.5% | 51.2% | -24% |
| Long commuters, 45 min plus | 12.5% | 4.7% | -62% |
| Degree holders, age 25+ | 27.6% | 36.1% | +31% |
| Workers on their own account | 8.6% | 7.6% | -11% |
| Renters paying 30%+ of income | 45.4% | 45.1% | -1% |
| Units sitting vacant | 10.3% | 13.3% | +29% |
| Typical construction year | 1982 | 1980 | |
| Annual rent divided by value | 5.6% | 5.4% | -5% |
| Households that rent | 31.7% | 58.3% | +84% |
| Tax as a share of home value | 0.75% | 0.79% | +5% |
| Residents (Census estimate) | 4,534,824 | 18,080 |
The renter share in Murray is 58.3%, well above the Kentucky median of 32%, so the rental market is large and competitive. Incomes matter for rent growth: the median household earns $44,091, well below the Kentucky median of $63,726, and 45% of renters are already cost-burdened at 30 percent of income or more.
Homes, buildings and vacancies in Murray
Murray has a deep multifamily layer: roughly 42% of units sit in buildings of two or more, with 26% in duplexes through fourplexes. The median home was built in 1980, a middle-aged stock where roofs, HVAC and water heaters are the main repair items.
Murray reports 13% of units vacant and a rental vacancy rate of 5.7%, a measure of how quickly a listed unit might lease.
What stands out in Murray
Murray's 5.4% rent-to-value ratio is on the lean side, so expect lenders to ask for more cash down on a typical single-family purchase and to scrutinize insurance and tax estimates closely. With a 1980 median build year, the question for each property is when the roof and HVAC were last replaced. A large renter population (58%) supports leasing, though it also means many competing landlords, so condition and price positioning count.
The payment side of the Murray ratio
Property taxes in Murray run a median $1,535 a year for owners, close to the Kentucky median of $1,544. As a share of median value, that is about 0.79%. That is about 15% of a year of median rent gone to taxes before the loan is even counted.
Calloway County carries a relatively low overall rating in FEMA's National Risk Index, where ice storms (relatively high), earthquakes (relatively moderate) and winter weather (relatively moderate) rank highest.
| Hazard in Calloway County, FEMA index | Level |
|---|---|
| Tornadoes exposure | Relatively Moderate |
| Winter weather exposure | Relatively Moderate |
| Earthquakes exposure | Relatively Moderate |
| Ice storms exposure | Relatively High |
| Social vulnerability score | Relatively High |
| Annualized loss estimate | Relatively Low |
| Composite risk | Relatively Low |
A Murray landlord policy is priced on roof, age, wiring and location, and the annual premium divided by twelve lands in the payment the lender tests.
Rent math for Murray buyers
Take the median rent ($870), subtract median taxes spread over twelve months ($128), and you have $742 of room at a 1.00 ratio. A lender asking for 1.25 cuts that to $568. Real quotes for the address decide the rest.
Rental rules for Murray, KY
Rental registration, inspection and nightly-stay rules differ by city, and we have not verified Murray's from a municipal source. A short call to the city and Calloway County before you make an offer is cheap insurance. State tax treatment of short stays, as it applies to Murray. Kentucky applies sales tax and a statewide transient room tax to short-term rentals, exempts stays of 30 continuous days or more, and requires platforms that facilitate bookings to collect and remit both state and local transient taxes.
Entry rules: At least 2 days' notice, except in an emergency or where impracticable (URLTA areas).
Neighbors of Murray by the numbers
Paducah's median home value of $165,300 is the group's floor and Clarksville's $263,600 its ceiling, while Murray is $195,000.
| Market | Renter share | Tax bill | Home value | Residents | Rent |
|---|---|---|---|---|---|
| Clarksville | 44% | $1,659 | $263,600 | 176,456 | $1,307 |
| Hopkinsville | 53% | $1,128 | $172,100 | 30,906 | $902 |
| Paducah | 45% | $1,390 | $165,300 | 26,845 | $834 |
| Murray | 58% | $1,535 | $195,000 | 18,080 | $870 |
What fills Murray rentals
Roughly 7.6% of employed people in Murray are self-employed, a base of investors and landlords for whom a rent-based loan is a practical option. On the workforce side, government workers are about 17% of employment, 36% of adults hold a bachelor's degree or higher and 5% of commuters travel 45 minutes or more.
Higher education in and around Murray includes Murray State University, which feeds demand for student, staff and faculty housing near campus. Wikipedia's entry for Murray notes air service through Murray-Calloway County Airport, a practical point for tenants and owners alike.
Taking a Murray deal to a lender
A good Murray file has four pieces: rent evidence, a tax estimate, an insurance quote and cash. Preview the ratio in the calculator, then apply or talk to us.
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- Every market we cover
Sources and data notes
- KRS 383.580, the Kentucky deposit law
- Kentucky Department of Revenue, transient room tax
- U.S. Census Bureau data for Murray
- Federal hazard index, KY
- Murray overview (Wikipedia)
We took the Murray data from Census ACS five-year tables for 2020 to 2024, estimates with margins of error. Landlord rules for Murray rest on Kentucky statutes and the CC BY 4.0 RedFlagLease dataset. Checked October 2026; confirm with Murray or the county before you rely on any rule.
Quick file checklist
For a Murray rental, request the current lease, the last tax bill and the insurance declarations page early, and confirm which utilities the tenant pays, because each one changes the monthly figure a lender compares with the rent.
DSCR loan availability varies by property and lender program and is not an offer to lend. See our disclosures.
Frequently asked questions
Lease or market rent: what counts in Murray?
It comes from a lease or from the market rent in the appraisal, whichever the program uses. Against that, the Murray median is $870.
Does the ratio in Murray include taxes and dues?
Yes, the payment includes principal, interest, taxes, insurance and association dues. At the Murray median rent of $870, a 1.25 ratio allows about $696 in total payment, of which roughly $128 a month goes to median taxes.
What do Murray owners pay in real estate taxes?
Typical owners pay $1,535, or 0.79% of home value, with Kentucky overall at 0.75%. Do not assume the seller's bill carries over to you.
Is short-term rental income allowed for a Murray DSCR loan?
Possible where lender guidelines allow it, subject to Murray and Calloway County rules and to the building's association. Lenders usually average a year of bookings and discount the result.
How exposed is Murray to natural hazards?
The county scores relatively low overall in FEMA's index, with ice storms leading. Parcel-level flood maps and a real insurance quote give the answer that counts.
How do LLC closings work for Murray rentals?
It is optional. Lenders will close in a properly formed LLC and generally want the members to guarantee. Ask your accountant how a KY entity would be taxed.