Real Estate Investing in Iola, Texas (77861)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 77861 (Iola, 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: 16.5% of homes vacant — above national norms.
- High price-to-rent: Price-to-rent ratio 46.3 — hard to cash-flow at these prices.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Iola, TX (77861)?
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Market Analysis: 77861 Iola
This part of Grimes County is not an easy win. The 77861 ZIP reflects softness in key indicators, and the playbook that works in cleaner markets often stalls here.
Distressed markets are won on execution, not on spreadsheets. ZIP 77861 clocks in at the profile where tenant screening, deferred maintenance, and local relationships determine the outcome.
Statewide comparisons place 77861 among TX's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.
Employment concentration in 77861 leans toward sectors with higher volatility. The demographic consequence is income fluctuation that investors need to factor into their pro forma.
Distressed ZIPs reward experience. notable returns are possible in 77861, but they flow to investors who already understand how to operate in soft markets.
Here's what matters if you're considering buying a home in Iola:
Property Strategy for 77861
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 3BR | $566,490 | $1,220 | 1.6% | +8.4% | $188,830 |
| 4BR | $673,526 | $1,490 | 1.6% | +6.3% | $168,381 |
Market Trends
Home Value History (with trend line)
📊 How Does 77861 Compare?
| Metric | 77861 | Iola | Texas |
|---|---|---|---|
| Home Value | $505,225 | $505,225 | $297,000 |
| 5-Year CAGR | 4.5% | 4.5% | 5.4% |
| Avg Rent | $909 | $909 | - |
| Cap Rate | 1.4% | 1.4% | - |
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 77861 (Iola, TX). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $505,225 |
| Monthly Rent | $909 |
| Price-to-Rent | 46.3:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 2.2% |
| Cap Rate | 1.4% |
| 5-Year IRR | 5.9% |
📈 Home Appreciation
| 1-Year | +0.5% ▲ |
| 3-Year CAGR | +3.2% ▲ |
| 5-Year CAGR | +4.5% ▲ |
| 10-Year CAGR | +7.3% ▲ |
🏠 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 (1.4%). 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 77861
Population: 2,785
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 77861
Schools in This ZIP Code
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
Frequently Asked Questions
Where do rents currently stand in Iola, TX?
Expect rents around $909/mo per month in Iola, TX. With home values at $505K, the yield math works out to reasonable levels for rental investors.
Is it easy to find good tenants in Iola, TX?
Tenant quality in Iola, TX ranks as solid. Landlords generally report stable occupancy at market rents of $909/mo.
Are there empty rentals in Iola, TX?
Vacancy risk in Iola, TX is elevated. That supports reliable cash flow for typical rental holds.
Can owner-occupants cash flow in Iola, TX?
House hacking in Iola, TX is a challenging. With home values around $505K and rents at $909/mo, owner-occupants can offset a meaningful share of PITI.
How does Iola, TX rate as a rental market?
Investors tracking Iola, TX will find a 3.0/5 rating supported by $505K median home values and $909/mo rents. That profile suits long-term holders targeting steady returns.
You know 77861 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 77861 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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Community Ratings
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