BRRRR Investing in Dallas, TX

BRRRR Score: 4.3/10Ranked #32 of 52 markets

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

Last updated: May 2026

Score Breakdown

BRRRR Score:4.3
Cap Rate(30%)
5.7%3.4
Affordable Entry Price(25%)
$340,0006.1
Rent-to-Price Ratio(25%)
0.50%2.4
Population Growth(20%)
+8.0%6.0

Key Metrics for BRRRR

Median Price

$340,000

Higher entry

Cap Rate

5.7%

Moderate

Rent-to-Price

0.50%

Post-refi cash flow indicator

Pop. Growth

+8.0%

5-year trend

BRRRR Investment Thesis

Dallas is a corporate relocation magnet with massive job growth, but home prices have risen faster than rents in recent years. Suburban markets like Mesquite and Garland offer better cap rates.

How Dallas Compares

RankCityBRRRR ScoreCap RateMedian Price
#28Richmond, VA4.46.2%$280,000
#29Knoxville, TN4.45.8%$270,000
#30Orlando, FL4.45.3%$355,000
#31Tampa, FL4.35.5%$350,000
#32Dallas, TX4.35.7%$340,000
#33Minneapolis, MN4.16.1%$295,000
#34Philadelphia, PA4.15.6%$240,000

Showing markets ranked near Dallas for this strategy.

Quick Math: Estimated Annual Return

Annual Gross Rent ($1,700/mo)$20,400
Less: Vacancy (7.8%)-$1,591
Less: Property Tax (1.93%)-$6,562
Less: Insurance (~0.5%)-$1,700
Less: Maintenance (~1.5%)-$5,100
Estimated NOI$5,447
Implied Cap Rate1.6%

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 Dallas, TX?

Dallas, TX scores 4.3 out of 10 on our brrrr score, ranking #32 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 Dallas a good city for brrrr investing?

Dallas, TX ranks #32 for brrrr investing with a score of 4.3/10. While not a top-ranked market for this strategy, it may have strengths in other investing approaches.

What is the average cap rate in Dallas?

The average cap rate in Dallas, TX is 5.7%. The median home price is $340,000 with a median monthly rent of $1,700, resulting in a rent-to-price ratio of 0.50%.

What are the property taxes in Dallas?

The effective property tax rate in Dallas, TX is 1.93%. On a $340,000 property, that translates to approximately $6,562 per year in property taxes.

How does Dallas compare to other brrrr markets?

Among our 52 tracked markets, Dallas, TX ranks #32 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 Dallas?

The median home price in Dallas, TX is $340,000. Distressed BRRRR-eligible properties typically sell for 60-70% of median value, putting estimated acquisition costs around $221,000. After rehab, the goal is to refinance at or near the full $340,000 after-repair value.

Run Your Own Numbers for Dallas

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