Texas is home to some of the best cities to invest in real estate. The Texas Demographic Center (TDC) shows a 14.9% population growth in the state from 2010 to 2018. That’s 3.55 million people who moved here from outside the states.
It’s also a younger population, compared to the rest of the U.S. Central Texas is projected by Jim Gaines at Texas A&M Real Estate Resource Center to continue growing through 2050. Austin will double in size to two million and Williamson County from 500,000 to two million.
The Best Cities to Invest in Real Estate Could Just All Be in Texas – Here’s Why
Here are six great reasons why Texas has the best cities to invest in real estate.
1. High Demand and Low Supply
The 3.5 million population growth in Texas represents a million more people than either Florida or California. Much of this is due to impossible home prices in markets like San Francisco, Los Angeles, and Miami. Approximately 150 people move into the Austin metro area every day. That’s an incredible growth rate from a real estate investment standpoint.
In fact, Austin is recognized worldwide as one of the best cities to invest in real estate. It’s a hot market because of high demand and a tight market. This makes owning real estate as an investment a simple choice, as quality tenants will be easy to find. Austin’s vacancy rate across all residential price points hovers at 8%.
2. Great Home Values
Texas ranks 23 on Business Insider’s ranking of average home prices per state, with a median listing price of $283,499. This is nearly half of California’s $549,900 median, making it attractive to people from more expensive states or even moving from outside the country. It also has record-low interest rates of 3.6%, making it an ideal time to buy residential real estate.
The most expensive housing market in Texas is in Austin, and it’s still only $407,400 at its record high in 2019. San Francisco’s median listing price is $1.3 million. In fact, there are no Texan cities on lists of the most expensive cities to live in the U.S.
3. Record-Low Unemployment Rates
A $1.809 billion economy makes Texas the second biggest economy in the U.S., behind California. Combined with much lower costs of living, this makes it an attractive place for anyone to move in retirement. Record-low Texas unemployment rates of 3.4% rank it 24 in the nation, according to the U.S. Bureau of Labor Statistics. California is ranked 34.
Texas has the best cities to invest in real estate because you’re more likely to find paying tenants. It leads all states in seasonally adjusted job growth at 2.6%, according to the 2018-2019 Texas Workforce Report. This means there’s a steady economy that can easily support more growth for investors. If you’re looking for a low-risk, high-ROI investment, Texas has the right cities for you.
4. Quality of Life
Investments should be more than just numbers on paper. Texas has a quality of life that must be experienced in person. There’s no pollution, thanks to clean manufacturing, and Central Texas is filled with beautiful hills, lakes, creeks, streams, parks, and wildlife for everyone to enjoy. When they say everything is bigger in Texas, they’re typically referring to the sprawling landscapes and gorgeous views. Those obviously require a bigger meal and truck to enjoy.
5. Diverse Landscape
In a matter of hours, you can be in a major metropolis, hit the beaches on the Gulf coast, explore the surrounding terrain, or hit the Rio Grande Valley down south. There are endless natural wonders to see and a diverse culture that attracts people from around the globe. Texas is more than a great monetary investment, investing time learning about the surrounding community of this vast state is a worthy life accomplishment.
6. Rich Culture and History
Texas has a different way of life that’s become legendary around the globe. It’s a state that’s run by the energy sector and steeped in a rich cultural history. Native tribes, European settlers, and Spanish and Mexican armies fought wars over the independence of Texas. Its residents are loud and proud of the state’s long heritage.
Texas Has the Best Cities to Invest in Real Estate
Don’t miss out on all the growth and opportunity happening in this state. Everything is bigger in Texas – and that will include your profits if you learn to invest properly.
Now’s the right time to invest in Texas. Become a professional real estate agent and investor by getting a Texas Real Estate License today.