Mount Vernon Tops List for Highest Rental Yields Among NYC Suburbs

Mount Vernon, the neighboring Westchester suburb just north of the Bronx, has emerged as the hottest investment hotspot for landlords eyeing top rental yields in the greater New York City area. With gross rental returns averaging over 7.2% in 2026, according to Streeteasy and DataUSA, Mount Vernon has leapfrogged Queens’ Jamaica and Brooklyn’s East New York as the city’s most lucrative buy-to-rent destination.

This matters now more than ever. Manhattan sale volumes slumped through the spring, and the citywide median home price held at $800,000 in June, according to Corcoran and Douglas Elliman reports. Investors priced out of the five boroughs or frustrated by razor-thin returns have been turning their gaze north to Westchester and New Jersey. But as fourth-of-July outdoor events across the tri-state were canceled in a brutal early-July heatwave, Mount Vernon’s resilient rental market has kept attracting those seeking reliable cash flow over price speculation.

Rental Sweet Spot Between City Access and Price

Mount Vernon’s appeal is twofold: accessibility and affordability. The city is only a 30-minute Metro-North ride from Grand Central Terminal, and its downtown real estate values remain strikingly low—an average two-bedroom lists for $360,000 on West 1st Street or Gramatan Avenue, well below the city median. The mix of longtime co-ops, newer condos like Loretta Gardens, and classic single-families near Wilson Woods Park appeals to a range of tenants priced out of Manhattan, Harlem, or the booming South Bronx.

Local realtors say steady demand is supported by both young professionals working at Montefiore Mount Vernon Hospital and families drawn to the Mount Vernon City School District, which has expanded after-school programs in partnership with the YMCA of Central Westchester. Vacancy rates have hovered below 4% this year, per Westchester County data, despite the overall slowdown in regional sales activity.

The Numbers Behind the Boom

Data gathered by real estate analytics firm UrbanDwell shows median monthly rents for two-bedrooms in Mount Vernon hit $2,200 in June—up 6% year-over-year. That places the gross rental yield over 7.2% for new listings, compared to 4.1% in Forest Hills, Queens, or a meager 3.3% in Park Slope, Brooklyn. The National Multifamily Housing Council puts the New York metro average at 4.6% this year, making Mount Vernon’s yield standout even in a crowded market.

Some pockets—particularly around Sandford Boulevard and Fleetwood—have seen yield spikes above 8% for smaller multifamily buildings. Local property taxes remain a wildcard; the Town Assessor’s office launched a reassessment process with new rates due July 15, which could adjust net returns for recent buyers.

For investors, the Mount Vernon market has reached an inflection point. With interest in accessory dwelling unit (ADU) conversions up following both Westchester and NYC’s 2025 zoning reforms, owners are finding new opportunities to boost rental income by finishing basement apartments or subdividing larger prewar homes. Real estate brokers predict investor competition will heat up through the fall.

Those considering buying should move fast and be ready for tighter lending standards: banks like Ridgewood Savings and PCSB have strengthened due diligence on investor mortgages in Westchester County after a rash of non-primary residence loans in spring. For now, Mount Vernon offers the rare combination of access, robust rental demand, and the highest yields in the region — a magnet for any investor seeking near-term cash flow over speculative appreciation. The risk, as always, is getting in before prices start to climb faster than rents.