Real Estate Investing in Fayetteville, Texas (78940)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 78940 (Fayetteville, 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: 31.8% of homes vacant — above national norms.
- High price-to-rent: Price-to-rent ratio 51.1 — 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 Fayetteville, TX (78940)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 78940 Fayetteville
Not every below-median market is a bargain. Fayetteville's 78940 ZIP shows signals that favor experienced operators who can absorb the risk $591K pricing implies.
Rent of $963/mo on a $591K basis reads well until vacancy, delinquency, and capex enter the model. The honest cap rate in 78940 sits below the stated 0.0% once reality is priced in.
In the broader TX picture, 78940 is a reminder that not every low-priced ZIP is a value-add opportunity — some are simply distressed, and the difference matters.
The 78940 ZIP's population of 2,284 has faced economic pressure over the last decade. That pressure shows up in rent delinquency patterns that clocks in at the need for careful underwriting.
The 78940 ZIP fits a narrow investor profile — hands-on, patient, and willing to accept that the cap rate on paper is not the cap rate in reality.
Here's what matters if you're considering buying a home in Fayetteville:
Market Trends
Home Value History (with trend line)
📊 How Does 78940 Compare?
| Metric | 78940 | Fayetteville | Texas |
|---|---|---|---|
| Home Value | $590,776 | $590,776 | $297,000 |
| 5-Year CAGR | 1.8% | 1.8% | 5.4% |
| Avg Rent | $963 | $963 | - |
| Cap Rate | 1.3% | 1.3% | - |
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 78940 (Fayetteville, TX). Anonymous, moderated, never written by AI.
Do you own or manage rentals in ZIP 78940 (Fayetteville, TX)?
~25 seconds · no account needed · your report is anonymous
📊 Market Snapshot
| Home Value | $590,776 |
| Monthly Rent | $963 |
| Price-to-Rent | 51.1:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 2.0% |
| Cap Rate | 1.3% |
| 5-Year IRR | 3.0% |
📈 Home Appreciation
| 1-Year | -1.8% ▼ |
| 3-Year CAGR | +0.3% ▲ |
| 5-Year CAGR | +1.8% ▲ |
| 10-Year CAGR | +5.5% ▲ |
🏠 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 (1.3%). 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 78940
Population: 2,284
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 78940
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.
Frequently Asked Questions
How quickly do rentals get leased in Fayetteville, TX?
Vacancy risk in Fayetteville, TX is elevated. That supports reliable cash flow for typical rental holds.
Should investors consider Fayetteville, TX?
With a 2.0/5 investability score, Fayetteville, TX ranks as a solid market for rental property investors. Median prices of $591K and rents of $963/mo drive the underlying numbers.
Does house hacking work in Fayetteville, TX?
House hacking in Fayetteville, TX is reasonable to execute. Prices around $591K and rents of $963/mo solid owner-occupant economics.
Is Fayetteville, TX good for landlords?
Fayetteville, TX falls under TX landlord-tenant law, which is landlord-friendly. That backdrop makes day-to-day property management reasonable.
How strong is the working-renter base in Fayetteville, TX?
Tenant demand in Fayetteville, TX is solid. The local workforce $963/mo rents across most rental classes.
You know 78940 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 78940 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.
AI Market Advisor
Ask questions about investing in 78940 (Fayetteville)
Community Ratings
What people who’ve spent time here actually say. Not paid reviews.
Be the first to rate 78940 (Fayetteville, TX).
It takes 30 seconds. No signup. Your rating helps everyone who comes here after you.