Real Estate Investing in Denton, Texas (76205)

Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.

Denton County • Population: 19,651 • Data updated: September 2026

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Should you buy in 76205 (Denton, TX)? Our answer, based on the numbers below.

🏠 For Homebuyers
CAUTION
Grade D (51/100)

Proceed carefully. Weak appreciation or affordability makes this a harder case for most buyers.

📈 For Investors
MIXED
3.0 / 5 (47/100)

A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.

⚠️ Risks to Know
1 flag
  • Elevated vacancy: 8.3% vacancy may signal weakening demand.

What’s happening in Denton, TX (76205)?

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3.0/ 5

Investability

Overall investment appeal

2.0/ 5

Appreciation

Long-term value growth

3.0/ 5

Cashflow ROI

Rental yield potential

Avg Home Value $359,904
Avg Monthly Rent $1,370
1% Rule ✗ Does Not Meet
Median Income $60,196
% Renters 61.5%

Market Analysis: 76205 Denton

The 76205 ZIP in Denton, TX is a local-operator market. Outside capital chasing a $360K entry has to pair deep knowledge with the discount.

The 76205 ZIP can work — but only with a tight operating hand. Remote landlords and passive investors tend to struggle here more than the underwriting suggests.

ZIP 76205's metrics run below Denton County's averages on price growth and tenant stability. Investors who ignore that regional gap tend to relearn it the hard way.

Turning to rents, 19,651 residents fill the ZIP, renter turnover runs higher than neighboring postal codes and delinquency risk is a real line item rather than a theoretical one.

Strategy in 76205 is an operator game, not a passive one. Turning to rents, entry prices of $360K are inviting, the management lift is real and non-optional.

Explore the Data — Click a Tab Below
🏦 Current 30-yr Fixed Mortgage Rate: 6.76% as of Sep 10 Source: Freddie Mac PMMS

Here's what matters if you're considering buying a home in Denton:

C+ Average
Buy Confidence Score: 64/100
Affordability
10/25
Appreciation
18/25
Stability
11/20
Timing
10/15
Rental backup
15/15
Affordability
Expensive
Homes cost 6× the median income
Value Trend
Stable (+0.6%)
How home values changed in the past year
Rental Backup
Strong
Could rent for $1,370/mo if you need to move
Market Conditions
COOL
More inventory, negotiating room for buyers
Bottom Line: Mixed signals in this market. Research specific properties carefully and be prepared to negotiate.
❄️
COOL MARKET
Dallas-Fort Worth-Arlington, TX Metro Area
More inventory, negotiating room for buyers
63 days
Average time to sell
Slow
11.2%
Listings with price cuts
Few Cuts
0.0%
Sale price vs asking
Below Ask
0.0%
Income needed for mortgage
Affordable
📅 Market conditions as of August 29, 2026 — updated weekly from Dallas-Fort Worth-Arlington, TX metro data
🏠

Property Strategy for 76205

Which property type performs best in this market?

Best for Cash Flow
2BR
6.1% cap rate
Best for Appreciation
5BR
+7.7% 5yr CAGR
Best Overall Value
2BR
$100,165/bedroom
📊 Compare All Property Types →
Type Median Value Est. Rent Cap Rate 5yr CAGR $/Bedroom
2BR $200,330 $1,710 6.1% +6.3% $100,165
3BR $314,316 $2,150 4.9% +6.3% $104,772
4BR $445,298 $2,740 4.4% +6.8% $111,325
5BR $581,825 +7.7% $116,365

Market Trends

Home Value History (with trend line)

$390K$335K$280K$225K$170K$114KJul 2006Jul 2016Jul 2026

Rent History (with trend line)

$1,477$1,429$1,382$1,334$1,287$1,239Dec 2022Oct 2024Jul 2026

📊 How Does 76205 Compare?

Metric 76205 Denton Dallas-Fort Worth-Arlington, TX Texas
Home Value $359,904 $279,834 N/A $297,000
5-Year CAGR 3.6% 2.9% N/A 5.4%
Avg Rent $1,370 $1,485 N/A -
Cap Rate 3.0% 3.5% - -
💡 Why Invest in 76205? Click to expand

With a 3/5 investability rating, this ZIP shows solid fundamentals for buy-and-hold investors.

62% of households rent in this area, creating consistent tenant demand for landlords.

📊 See where this ZIP ranks in our Best-of lists →
A great house in the wrong ZIP is still a bad deal — screen every market by cash flow & cap rate.
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Landlord Ground Truth

Real numbers from people who own or manage rentals in ZIP 76205 (Denton, TX). Anonymous, moderated, never written by AI.

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Investability
Good
Cap Rate
3.0%
Low
5yr Growth
+3.6%
Moderate

📊 Market Snapshot

Home Value $359,904
Monthly Rent $1,370
Price-to-Rent 21.9:1
1% Rule ✗ Fails

💰 Return Metrics

Gross Yield 4.6%
Cap Rate 3.0%
5-Year IRR 6.5%

📈 Home Appreciation

1-Year +0.6% ▲
3-Year CAGR -0.5% ▼
5-Year CAGR +3.6% ▲
10-Year CAGR +6.2% ▲

🏠 Rent Trends

1-Year -2.8% ▼
3-Year CAGR -1.2% ▼
5-Year CAGR N/A
Negative Leverage — IRR / Tax Play Cap Rate: 3.0%  |  30yr Rate: 6.8%
Leverage reduces cash returns at current rates.

The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.0%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.

Run an IRR Analysis →

⚠️ Risk Signals

Composite view of factors that can impact a ZIP's stability and your downside risk.

Vacancy
8.3%
Moderate risk
Landlord Climate
5.0/5
Friendly
Value Trend (5yr)
+3.6%
Stable
Eviction process: Fast Rent control: Favorable

Demographics in 76205

Population: 19,651

💰 Median Household Income
$60,196
This area
$60,196
State
$70,593
USA
$74,580
🏠 Renter Occupied
61.5%
This area
61.5%
State
29.5%
USA
34.0%
💼 Unemployment Rate
4.1%
This area
4.1%
State
-25.4%
USA
3.7%
🎓 College Educated
40.0%
This area
40.0%
State
-5.8%
USA
33.7%
👤 Median Age
29.0 years
This area
29.0 years
State
-3.7 years
USA
38.9 years
🏚️ Vacancy Rate
8.3%
This area
8.3%
State
18.3%
USA
10.5%
👥 Population by Ethnicity
White 63.8%
Other/Mixed 18.2%
Black/African American 14.8%
Hispanic/Latino 14.4%
Asian 3.3%
👶 Under 18
14.2%
This area
14.2%
USA
22.0%
👴 65 and Over
10.0%
This area
10.0%
USA
17.3%
📊 Poverty Rate
13.0%
This area
13.0%
USA
11.5%

Crime & Safety

🚧

Crime & Safety Data Coming Soon

We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.

Expected: Q1 2025

🎓 Schools in 76205

B+ Avg School Grade
10 Schools
10.2:1 Avg Class Size
$18,420 Avg Per Pupil

Schools in This ZIP Code

A+ Excellent

BORMAN EL

📚 Pre-K – 05 Elementary
👥
468 Students
👨‍🏫
9.8:1 Class Size
💰
$19,694 Per Student
A+ Excellent

HOUSTON EL

📚 Pre-K – 05 Elementary
👥
527 Students
👨‍🏫
12.8:1 Class Size
💰
$19,694 Per Student
A+ Excellent

MCMATH MIDDLE

📚 06 – 08 Middle
👥
782 Students
👨‍🏫
13.0:1 Class Size
💰
$19,694 Per Student
A+ Excellent

RIVERA EL

📚 Pre-K – 05 Elementary
👥
655 Students
👨‍🏫
12.1:1 Class Size
💰
$19,694 Per Student
A Very Good

CORINTH EL

📚 Pre-K – 05 Elementary
👥
549 Students
👨‍🏫
13.4:1 Class Size
💰
$15,473 Per Student
B+ Above Average

FRED MOORE H S

📚 09 – 12 High School
👥
62 Students
👨‍🏫
9.4:1 Class Size
💰
$19,694 Per Student
B+ Above Average

JOE DALE SPARKS CAMPUS

📚 05 – 12 High School
👥
72 Students
👨‍🏫
4.8:1 Class Size
💰
$19,694 Per Student
B Good

LAKE DALLAS H S

📚 08 – 12 High School
👥
1,285 Students
👨‍🏫
15.6:1 Class Size
💰
$15,473 Per Student
B Good

DENTON CO J J A E P

📚 07 – 12 High School
👥
5 Students
👨‍🏫
0.7:1 Class Size
💰
$15,391 Per Student
C Below Average

DENTON CO J J A E P

📚 09 – 12 High School Limited Data
👥
6 Students
💰
$19,694 Per Student
About Repit School Scores

Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.

We evaluate schools based on factors that research shows actually impact educational outcomes:

  • Class Size — Smaller classes mean more individual attention
  • School Funding — Resources available for programs, staff, and facilities
  • Community Factors — Neighborhood characteristics that influence student success
  • School Environment — Size, type, and structure

Scores are updated annually using federal education data.

🎓 Nearby Colleges & Universities

3 Nearby 2,375 Off-Campus Students
C
Ogle School Hair Skin Nails-Denton
198 students · 0.9 mi
C+
University of North Texas
47,507 students · 1.8 mi
C+
Texas Woman's University
15,664 students · 2.5 mi

Investor Insight: With 2,375 students living off-campus nearby, this area has strong rental demand from the college population.

Frequently Asked Questions

Where do rents currently stand in Denton, TX?

The typical rental in Denton, TX commands about $1,370/mo monthly. That rent profile consistent cash flow against the $360K purchase basis.

Are landlord laws favorable in Denton, TX?

Rental owners in Denton, TX deal with a landlord-friendly legal framework. Most standard eviction processes run on reasonable timelines.

Is Denton, TX a smart market for rental property?

The 3.0/5 investability rating in Denton, TX reflects its $360K prices and $1,370/mo rents. Investors generally consider it a solid option within TX.

Can I house hack in Denton, TX?

Denton, TX offers a challenging house-hacking opportunity. Small multifamily or rent-by-the-room plays can pair well with the $1,370/mo rent level.

Is Denton, TX better for rentals, flips, or BRRRR?

For Denton, TX, careful cash-flow rentals with hands-on management is the standard investor playbook. The market structure makes it a reasonable default approach.

You know 76205 now. You don’t know where it ranks.

This page stays free — all of it. What one page can’t tell you is how 76205 compares to every other market. Investor ($19/mo) screens every U.S. ZIP by cap rate, the 1% rule, vacancy and landlord climate, and exports your shortlist.

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How 76205 ranks in Dallas-Fort Worth-Arlington, TX

Every ZIP in this metro, ranked. Free.

Cash Flow → Appreciation → Affordable →
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