BRRRR Investing in Houston, TX
Data-driven brrrr analysis for Houston, TX — score breakdown, key investment metrics, and how it compares to other markets.
Last updated: May 2026
Score Breakdown
Key Metrics for BRRRR
Median Price
$265,000
Higher entry
Cap Rate
6.3%
Good
Rent-to-Price
0.57%
Post-refi cash flow indicator
Pop. Growth
+5.2%
5-year trend
BRRRR Investment Thesis
Houston offers massive scale and diversity across neighborhoods but watch for flood zone exposure and high property taxes. The energy sector recovery has boosted job growth and rental demand.
How Houston Compares
| Rank | City | BRRRR Score | Cap Rate | Median Price |
|---|---|---|---|---|
| #19 | Cincinnati, OH | 4.9 | 7.0% | $195,000 |
| #20 | Des Moines, IA | 4.9 | 6.6% | $200,000 |
| #21 | Milwaukee, WI | 4.7 | 6.7% | $175,000 |
| #22 | Charlotte, NC | 4.7 | 5.6% | $340,000 |
| #23 | Houston, TX | 4.7 | 6.3% | $265,000 |
| #24 | Baltimore, MD | 4.6 | 6.5% | $180,000 |
| #25 | Atlanta, GA | 4.6 | 5.9% | $320,000 |
Showing markets ranked near Houston for this strategy.
Quick Math: Estimated Annual Return
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 Houston, TX?
Houston, TX scores 4.7 out of 10 on our brrrr score, ranking #23 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 Houston a good city for brrrr investing?
Houston, TX ranks #23 for brrrr investing — a solid mid-tier market with a score of 4.7/10. The median home price is $265,000 with a 6.3% average cap rate.
What is the average cap rate in Houston?
The average cap rate in Houston, TX is 6.3%. The median home price is $265,000 with a median monthly rent of $1,500, resulting in a rent-to-price ratio of 0.57%.
What are the property taxes in Houston?
The effective property tax rate in Houston, TX is 2.03%. On a $265,000 property, that translates to approximately $5,380 per year in property taxes.
How does Houston compare to other brrrr markets?
Among our 52 tracked markets, Houston, TX ranks #23 for brrrr investing. It falls in the middle of the pack for this strategy.
What is the typical entry price for BRRRR deals in Houston?
The median home price in Houston, TX is $265,000. Distressed BRRRR-eligible properties typically sell for 60-70% of median value, putting estimated acquisition costs around $172,250. After rehab, the goal is to refinance at or near the full $265,000 after-repair value.
Run Your Own Numbers for Houston
Use our free calculators pre-filled with Houston, TX market data, or adjust the numbers for your specific deal.
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