Real Estate Investing in South Houston, Texas (77587)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 77587 (South Houston, TX)? Our answer, based on the numbers below.
Mixed signals — some positives, some negatives. Worth considering but not a slam-dunk.
A cash-flow market — rent-to-price math works from day one, though value growth is modest. Great for income-focused investors.
- Elevated vacancy: 11.1% vacancy may signal weakening demand.
- Elevated poverty: 21.0% poverty rate — can affect rent collection.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in South Houston, TX (77587)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 77587 South Houston
This part of Harris County is not an easy win. The 77587 ZIP shows softness in key indicators, and the playbook that works in cleaner markets often stalls here.
Rent of $1,242/mo on a $192K basis reads well until vacancy, delinquency, and capex enter the model. The honest cap rate in 77587 sits below the stated 0.0% once reality is priced in.
Stepping back, 77587 offers a low basis, the region around South Houston has moved on in ways that the ZIP itself has not fully absorbed. The result is a discount with genuine reasons.
Employment concentration in 77587 leans toward sectors with higher volatility. The demographic consequence is income fluctuation that investors need to factor into their pro forma.
Strategy in 77587 is an operator game, not a passive one. On the rental side, entry prices of $192K are inviting, the management lift is real and non-optional.
Here's what matters if you're considering buying a home in South Houston:
Property Strategy for 77587
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $148,851 | $1,380 | 6.7% | +5.3% | $74,425 |
| 3BR | $197,742 | $1,860 | 6.8% | +5.3% | $65,914 |
| 4BR | $237,688 | $2,320 | 7.0% | +5.5% | $59,422 |
Market Trends
Home Value History (with trend line)
📊 How Does 77587 Compare?
| Metric | 77587 | South Houston | Houston-The Woodlands-Sugar Land, TX | Texas |
|---|---|---|---|---|
| Home Value | $191,774 | $191,774 | N/A | $297,000 |
| 5-Year CAGR | 2.7% | 2.7% | N/A | 5.4% |
| Avg Rent | $1,242 | $1,242 | N/A | - |
| Cap Rate | 5.1% | 5.1% | - | - |
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 77587 (South Houston, TX). Anonymous, moderated, never written by AI.
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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 | $191,774 |
| Monthly Rent | $1,242 |
| Price-to-Rent | 12.9:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 7.8% |
| Cap Rate | 5.1% |
| 5-Year IRR | 7.8% |
📈 Home Appreciation
| 1-Year | +0.0% ▲ |
| 3-Year CAGR | -1.3% ▼ |
| 5-Year CAGR | +2.7% ▲ |
| 10-Year CAGR | +6.5% ▲ |
🏠 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 (5.1%). 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 77587
Population: 16,058
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 77587
Schools in This ZIP Code
Nearby Schools (5 more)
Schools in adjacent ZIP codes that may serve this area
RUCKER EL
SPARKS EL
WILLIAMS EL
BAILEY EL
BOBBY SHAW MIDDLE
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 38,729 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
Do landlords face vacancy issues in South Houston, TX?
Expect elevated vacancy in South Houston, TX. Rents at $1,242/mo are absorbed by the tenant base without meaningful lag.
Should investors consider South Houston, TX?
The 3.0/5 investability rating in South Houston, TX reflects its $192K prices and $1,242/mo rents. Investors generally consider it a solid option within TX.
How do home values compare in South Houston, TX?
Homes in South Houston, TX typically sell near $192K. Prices have moved at a 0.0% 5-year CAGR, which measured long-term demand.
How do landlord-tenant laws work in South Houston, TX?
TX ranks as a landlord-friendly state for landlord-tenant law. South Houston generally follows the statewide framework, so landlords face reasonable operating rules.
What is the tenant pool like in South Houston, TX?
Expect a solid tenant pool in South Houston, TX. The rental market absorbs $1,242/mo rents without meaningful friction.
You know 77587 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 77587 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 77587 ranks in Houston-The Woodlands-Sugar Land, TX
Every ZIP in this metro, ranked. Free.
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