Real Estate Investing in Waco, Texas (76701)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 76701 (Waco, TX)? Our answer, based on the numbers below.
Proceed carefully. Weak appreciation or affordability makes this a harder case for most buyers.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- High vacancy: 17.3% of homes vacant — above national norms.
- Elevated poverty: 42.3% poverty rate — can affect rent collection.
- Lower household income: $29,714 median — tenant affordability is tighter.
What’s happening in Waco, TX (76701)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 76701 Waco
ZIP 76701 inside McLennan County looks affordable on the surface — median value of $320K — but the discount exists for reasons that a careful buyer should understand before committing.
Put differently, the numbers look inviting — $320K purchase price, 0.0% nominal cap — the work to hit that pro forma in 76701 is substantial and deserves full respect.
The gap between 76701 and stronger Waco ZIPs is not closing quickly. Investors should weight long-horizon assumptions accordingly.
From a cash-flow lens, 1,732 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.
Experienced landlords with local relationships tend to find 76701 workable. Turnkey investors from out of state usually find the numbers do not hold up in practice.
Here's what matters if you're considering buying a home in Waco:
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 76701 Compare?
| Metric | 76701 | Waco | Waco, TX | Texas |
|---|---|---|---|---|
| Home Value | $319,901 | $120,642 | N/A | $297,000 |
| 5-Year CAGR | 8.5% | 4.2% | N/A | 5.4% |
| Avg Rent | $1,334 | $1,382 | N/A | - |
| Cap Rate | 3.3% | 5.9% | - | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 76701 (Waco, TX). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $319,901 |
| Monthly Rent | $1,334 |
| Price-to-Rent | 20.0:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 5.0% |
| Cap Rate | 3.3% |
| 5-Year IRR | 11.7% |
📈 Home Appreciation
| 1-Year | +11.6% ▲ |
| 3-Year CAGR | +5.2% ▲ |
| 5-Year CAGR | +8.5% ▲ |
| 10-Year CAGR | +11.7% ▲ |
🏠 Rent Trends
| 1-Year | N/A |
| 3-Year CAGR | N/A |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.3%). 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.
Demographics in 76701
Population: 1,732
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 76701
Schools in This ZIP Code
Nearby Schools (5 more)
Schools in adjacent ZIP codes that may serve this area
G W CARVER MIDDLE
PROVIDENT HEIGHTS EL
WEST AVENUE EL
AUDRE AND BERNARD RAPOPORT ACADEMY
DEAN HIGHLAND EL
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
Investor Insight: With 5,693 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
What are home prices like in Waco, TX?
In Waco, TX the median home value sits at $320K. Against the broader TX market, that reads as reasonable for most investors.
Is Waco, TX landlord-friendly?
Landlord-friendliness in Waco, TX is landlord-friendly. Eviction timelines and lease enforcement are considered reasonable by most property managers.
What do rentals go for in Waco, TX?
Waco, TX rentals go for roughly $1,334/mo a month. That puts gross yield in solid territory relative to $320K acquisition costs.
What approach is best for Waco, TX real estate?
Waco, TX investors pursuing careful cash-flow rentals with hands-on management. The underlying economics ($320K prices, $1,334/mo rents) make it a reasonable choice.
Is the tenant base reliable in Waco, TX?
Tenant quality in Waco, TX ranks as solid. Landlords generally report reliable occupancy at market rents of $1,334/mo.
You know 76701 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 76701 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.
How 76701 ranks in Waco, TX
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