BRRRR Investing in Austin, TX

BRRRR Score: 4.0/10Ranked #38 of 52 markets

Data-driven brrrr analysis for Austin, TX — score breakdown, key investment metrics, and how it compares to other markets.

Last updated: May 2026

Score Breakdown

BRRRR Score:4.0
Cap Rate(30%)
4.3%1.9
Affordable Entry Price(25%)
$450,0004.7
Rent-to-Price Ratio(25%)
0.39%1.3
Population Growth(20%)
+15.0%9.5

Key Metrics for BRRRR

Median Price

$450,000

Higher entry

Cap Rate

4.3%

Moderate

Rent-to-Price

0.39%

Post-refi cash flow indicator

Pop. Growth

+15.0%

5-year trend

BRRRR Investment Thesis

Austin tech-driven growth is real, but oversupply in the multifamily market has pushed vacancy up and rents down from 2023 peaks. Patient investors may find value as the market absorbs new inventory.

How Austin Compares

RankCityBRRRR ScoreCap RateMedian Price
#35Philadelphia, PA4.15.6%$240,000
#36Nashville, TN4.15.2%$400,000
#37Phoenix, AZ4.14.9%$385,000
#38Austin, TX4.04.3%$450,000
#39Chicago, IL3.96.0%$275,000
#40Charleston, SC3.95.0%$385,000
#41Las Vegas, NV3.94.8%$380,000

Showing markets ranked near Austin for this strategy.

Quick Math: Estimated Annual Return

Annual Gross Rent ($1,750/mo)$21,000
Less: Vacancy (5.6%)-$1,176
Less: Property Tax (1.82%)-$8,190
Less: Insurance (~0.5%)-$2,250
Less: Maintenance (~1.5%)-$6,750
Estimated NOI$2,634
Implied Cap Rate0.6%

Based on median market data. Your actual returns will vary based on specific property, financing, and management costs. Always run your own analysis before investing.

Frequently Asked Questions

What is the brrrr score for Austin, TX?

Austin, TX scores 4.0 out of 10 on our brrrr score, ranking #38 out of 52 markets we track. Weighted composite: cap rate (30%), affordable entry price (25%), rent-to-price ratio (25%), population growth (20%). Scale 0–10.

Is Austin a good city for brrrr investing?

Austin, TX ranks #38 for brrrr investing with a score of 4.0/10. While not a top-ranked market for this strategy, it may have strengths in other investing approaches.

What is the average cap rate in Austin?

The average cap rate in Austin, TX is 4.3%. The median home price is $450,000 with a median monthly rent of $1,750, resulting in a rent-to-price ratio of 0.39%.

What are the property taxes in Austin?

The effective property tax rate in Austin, TX is 1.82%. On a $450,000 property, that translates to approximately $8,190 per year in property taxes.

How does Austin compare to other brrrr markets?

Among our 52 tracked markets, Austin, TX ranks #38 for brrrr investing. Other markets may be stronger for this particular strategy, though it may excel in different approaches.

What is the typical entry price for BRRRR deals in Austin?

The median home price in Austin, TX is $450,000. Distressed BRRRR-eligible properties typically sell for 60-70% of median value, putting estimated acquisition costs around $292,500. After rehab, the goal is to refinance at or near the full $450,000 after-repair value.

Run Your Own Numbers for Austin

Use our free calculators pre-filled with Austin, TX market data, or adjust the numbers for your specific deal.

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