Real Estate Investing in Houston, Texas (77098)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 77098 (Houston, TX)? Our answer, based on the numbers below.
Multiple negative signals. Better options likely exist nearby.
Structural challenges here. The numbers may look cheap but operational risk is high. Only for experienced, hands-on investors.
- High vacancy: 13.7% of homes vacant — above national norms.
- High price-to-rent: Price-to-rent ratio 32.6 — hard to cash-flow at these prices.
What’s happening in Houston, TX (77098)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 77098 Houston
The 77098 ZIP in Houston, TX is a local-operator market. Outside capital chasing a $705K entry has to pair deep knowledge with the discount.
Distressed markets are won on execution, not on spreadsheets. ZIP 77098 reports the profile where tenant screening, deferred maintenance, and local relationships determine the outcome.
Statewide comparisons place 77098 among TX's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.
Demographically, 77098 is a market where tenant selection matters more than unit finishes. Operators who understand that tend to do fine; those who do not tend to learn why the ZIP trades at a discount.
trends toward the ZIP is not uninvestable, but it is unforgiving. Section 8 landlords, local operators, and specialized value-add funds are the investor types that tend to succeed.
Here's what matters if you're considering buying a home in Houston:
Property Strategy for 77098
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 1BR | $250,845 | $1,980 | 5.7% | +1.5% | $250,845 |
| 2BR | $485,694 | $2,360 | 3.5% | +1.8% | $242,847 |
| 3BR | $736,172 | $3,170 | 3.1% | +2.9% | $245,391 |
| 4BR | $1,170,198 | $3,960 | 2.4% | +3.0% | $292,550 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 77098 Compare?
| Metric | 77098 | Houston | Houston-The Woodlands-Sugar Land, TX | Texas |
|---|---|---|---|---|
| Home Value | $705,119 | $318,356 | N/A | $297,000 |
| 5-Year CAGR | 2.5% | 2.6% | N/A | 5.4% |
| Avg Rent | $1,801 | $1,555 | N/A | - |
| Cap Rate | 2.0% | 4.6% | - | - |
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 77098 (Houston, TX). Anonymous, moderated, never written by AI.
Do you own or manage rentals in ZIP 77098 (Houston, TX)?
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Property managers serving Harris County
Manage rentals here? List your business →SBB Community Management provides Texas HOA management services, including financial management, property maintenance, and technology solutions, serving Dallas, Fort Worth, and Houston since 1974. summary from their website
KPM Property Management offers end-to-end solutions including pre-acquisition due diligence, on-site property management, and development of townhomes in the Houston area. summary from their website
SBB Community Management provides Texas HOA management services for homeowners associations, condominium associations, and master-planned communities across Dallas, Fort Worth, and Houston. summary from their website
Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.
📊 Market Snapshot
| Home Value | $705,119 |
| Monthly Rent | $1,801 |
| Price-to-Rent | 32.6:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 3.1% |
| Cap Rate | 2.0% |
| 5-Year IRR | 4.5% |
📈 Home Appreciation
| 1-Year | +2.5% ▲ |
| 3-Year CAGR | +1.9% ▲ |
| 5-Year CAGR | +2.5% ▲ |
| 10-Year CAGR | +2.4% ▲ |
🏠 Rent Trends
| 1-Year | +3.4% ▲ |
| 3-Year CAGR | +1.3% ▲ |
| 5-Year CAGR | +2.5% ▲ |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (2.0%). 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.
Demographics in 77098
Population: 16,318
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 77098
Schools in This ZIP Code
Nearby Schools (5 more)
Schools in adjacent ZIP codes that may serve this area
GREGORY-LINCOLN ED CTR
ELLA J BAKER MONTESSORI SCHOOL
HARVARD EL
MEMORIAL EL
ROBERTS 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 8,357 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
What strategy should investors use in Houston, TX?
The best-fit strategy in Houston, TX is careful cash-flow rentals with hands-on management. That approach the rent and price profile of the market.
Are there empty rentals in Houston, TX?
Houston, TX vacancy trends elevated. Investors running standard buy-and-hold plays see reasonable downtime between tenants.
Does Houston, TX make sense for an investment property?
Houston, TX rates 2.0/5 for investability. With median values at $705K and rents near $1,801/mo, the market offers reasonable fundamentals for rental investors.
Does a duplex house hack pencil in Houston, TX?
House hacking in Houston, TX is a challenging. With home values around $705K and rents at $1,801/mo, owner-occupants can offset a meaningful share of PITI.
Does Houston, TX favor landlords or tenants?
The landlord environment in Houston, TX is landlord-friendly. Statewide rules shape most day-to-day operations for rental owners.
You know 77098 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 77098 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 77098 ranks in Houston-The Woodlands-Sugar Land, TX
Every ZIP in this metro, ranked. Free.
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