Invest In Apartment Buildings In Racine County, WI

What Drives Rental Demand In Racine County

Rental demand in Racine County comes from 23,284 renter households, which is 29% of occupied housing (ACS 2020–2024). Renter households dropped 6.7% between the 2015–2019 and 2020–2024 surveys. We treat that as a caution flag and look closely at occupancy in any building we consider here.

Median household income in Racine County, WI is $78,096, up 27.3% over five years. Resident employment rose 2.5% and the unemployment rate was 4.4% in the latest survey. Rent and income have moved at a similar pace (26% and 27.3%), so affordability hasn't shifted much.

Racine County leans toward ownership. Apartment buildings compete with single-family rentals for tenants, so we look closely at how a property's rents compare with nearby rental houses.

The Supply Picture In Racine County

Median gross rent in Racine County, WI is $1,080 a month, up 26% from $857 in the 2015–2019 survey (U.S. Census ACS 2020–2024). Few markets grew rent faster over the period. We still underwrite slower growth from here, because rent spikes tend to cool once new supply catches up.

Rental vacancy is 5.7%, within the normal range for a balanced market. 43.1% of renters spend 30% or more of their income on housing. That is close to the national picture, where roughly half of renters do, so rent increases need to track local wage growth.

About 14.7% of homes in Racine County are in buildings with 5 or more units, roughly 12,573 homes. That count was down 1.6% over five years, so new apartment supply has been limited. The median home was built in 1968. Much of the stock is old enough that roofs, plumbing and electrical systems need a close look, and older buildings are where value-add renovation plans start. For comparison, HUD's fiscal year 2027 Fair Market Rent for a two-bedroom unit in the Racine-Mount Pleasant, WI MSA is $1,283 a month.

How Racine County Ranks For Apartment Investors

We track 7 Wisconsin counties. Racine County places 4th for median gross rent, 5th for renter share and 4th for five-year rent growth. Its rents fall in the middle of the pack. In raw numbers, Racine County has about 1,930 more residents, 1,672 fewer renter households and 204 fewer homes in buildings with 5 or more units than in the 2015–2019 survey. With fewer renter households than before, a building has to win tenants from competitors rather than from new demand.

Cities In Racine County At A Glance

We follow 3 cities in Racine County. The largest is Racine, with a median gross rent of $1,033 a month.

Racine County Compared With Wisconsin

Racine County's median gross rent of $1,080 is below the Wisconsin median of $1,087.

Can Tenants Afford Racine County Rents?

The median rent in Racine County works out to $12,960 a year, about 16.6% of the median household income of $78,096. Under the common 30% guideline, a household needs about $43,200 a year to cover that rent comfortably. That's close to the Wisconsin figure of 16.8%. Renters usually earn less than the all-household median, so the real burden for tenants is higher than this simple ratio shows.

Since the 2015–2019 survey, the median rent rose $223 a month ($2,676 a year), while median household income rose $16,748 a year. The two have moved together, so affordability today looks much like it did five years ago. HUD's FY2027 Fair Market Rent for a two-bedroom unit, $1,283, is 18.8% above the median gross rent for all unit sizes. That gap matters for buildings that accept Housing Choice Vouchers, since local housing authorities base voucher payment standards on it.

Racine County Rental Market In Numbers

These are the core numbers for Racine County, WI, each from the Census Bureau's American Community Survey.

• Racine County, WI has 197,532 residents, up 1% from the 2015–2019 survey (U.S. Census ACS 2020–2024).
• Median household income in Racine County, WI is $78,096, up 27.3% over five years (U.S. Census ACS 2020–2024).
• Median gross rent in Racine County, WI is $1,080 a month, up 26% over five years (U.S. Census ACS 2020–2024).
• 29% of households in Racine County, WI rent, about 23,284 renter households (U.S. Census ACS 2020–2024).
• 14.7% of homes in Racine County, WI are in buildings with 5 or more units (U.S. Census ACS 2020–2024).
• The rental vacancy rate in Racine County, WI is 5.7%, and 43.1% of renters spend 30% or more of income on rent (U.S. Census ACS 2020–2024).
• The median home in Racine County, WI was built in 1968 (U.S. Census ACS 2020–2024).

What We Look For In Racine County

In Racine County we focus on apartment buildings with 5 or more units. Some are stabilized and well run. Others have below-market rents or deferred maintenance that a better operator can fix. Either way, the deal has to make sense on current numbers.

Property taxes are a big line item for any Wisconsin apartment building. We estimate the tax bill as it will be after the purchase, because a sale can trigger a reassessment in many places. Wisconsin has no statewide rent control law, though local rules on notices, fees and deposits still apply. Insurance quotes in Wisconsin reflect winter storm and frozen-pipe claims, so we get a quote before we make an offer.

Given how fast rents rose here, we assume much slower rent growth going forward and make sure the deal still works if rents stay flat for a while.

Questions To Ask About An Apartment Syndication In Racine County

The data on this page turns into a short checklist for evaluating an apartment syndication in Racine County.

• What vacancy does the plan assume? Rental vacancy in Racine County is 5.7%. A plan that assumes much lower vacancy than the market should explain why.
• What rent growth is underwritten? Rents here rose 26% over five years. Ask whether the plan assumes that pace continues, and what happens to the deal if rents stay flat.
• How was the property tax bill estimated? A sale often triggers a reassessment, so the bill after purchase can be well above what the seller pays today.
• What capital work is budgeted? The median home in Racine County was built in 1968, so roofs, plumbing and electrical systems deserve their own line items.
• How will the building hold occupancy? Renter households in Racine County fell 6.7%, so the plan should show how it keeps units full.
• How and when does capital come back? Ask what the plan is for a refinance or sale, and what happens if that takes longer than expected.

How Passive Investing In A Racine County Apartment Syndication Works

A syndication splits the work from the capital. As general partner, Skyline sources and buys the building, sets the business plan and runs it with a property manager. Limited partners invest money, own part of the property and receive reports, but they don't manage anything day to day.

Expect your money to be tied up for years, with no easy way to sell your share early, and remember that any investment can lose money. Most deals are open only to accredited investors under Rule 506(b) or 506(c). See investing with Skyline Capital for how we work with limited partners.

Getting Started

The first step is the investor network. It's free, and it's how we share market notes and get to know investors. If we buy in Racine County or elsewhere and you're eligible, we'll reach out privately with the details.