Real Estate Investing in Amarillo, Texas (79118)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 79118 (Amarillo, TX)? Our answer, based on the numbers below.
Solid choice — stable market with a reasonable entry point and good rental backup if you ever need to move.
A cash-flow market — rent-to-price math works from day one, though value growth is modest. Great for income-focused investors.
No major risk flags on the data we track.
What’s happening in Amarillo, TX (79118)?
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Market Analysis: 79118 Amarillo
The 79118 ZIP covers a section of Amarillo that demands careful diligence. Prices near $263K look accessible, but the work to make a deal cash flow is real.
The 79118 ZIP can work — but only with a tight operating hand. Remote landlords and passive investors tend to struggle here more than the underwriting suggests.
Statewide comparisons place 79118 among TX's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.
A significant renter share of 20% in 79118 is not, on its own, a problem — but paired with below-average income and high mobility, it changes the operating playbook.
New investors are better served looking at Amarillo's stable or hybrid ZIPs before stepping into 79118. The learning curve here is expensive when the lesson is wrong.
Here's what matters if you're considering buying a home in Amarillo:
Property Strategy for 79118
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $182,722 | $1,360 | 5.4% | +6.2% | $91,361 |
| 3BR | $241,219 | $1,850 | 5.5% | +6.3% | $80,406 |
| 4BR | $333,381 | $2,140 | 4.6% | +6.0% | $83,345 |
| 5BR | $530,452 | — | — | +6.7% | $106,090 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 79118 Compare?
| Metric | 79118 | Amarillo | Amarillo, TX | Texas |
|---|---|---|---|---|
| Home Value | $263,291 | $140,122 | N/A | $297,000 |
| 5-Year CAGR | 4.3% | 5.5% | N/A | 5.4% |
| Avg Rent | $1,839 | $1,170 | N/A | - |
| Cap Rate | 5.5% | 4.7% | - | - |
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 79118 (Amarillo, TX). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $263,291 |
| Monthly Rent | $1,839 |
| Price-to-Rent | 11.9:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 8.4% |
| Cap Rate | 5.5% |
| 5-Year IRR | 9.8% |
📈 Home Appreciation
| 1-Year | +5.0% ▲ |
| 3-Year CAGR | +1.7% ▲ |
| 5-Year CAGR | +4.3% ▲ |
| 10-Year CAGR | +4.4% ▲ |
🏠 Rent Trends
| 1-Year | +2.3% ▲ |
| 3-Year CAGR | N/A |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (5.5%). 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 79118
Population: 27,412
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 79118
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
Investor Insight: With 4,162 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
What are home prices like in Amarillo, TX?
Amarillo, TX median home values land near $263K. That is reasonable territory for investors looking at $1,839/mo-per-month rentals.
What is the tenant pool like in Amarillo, TX?
Tenant demand in Amarillo, TX is solid. The local workforce $1,839/mo rents across most rental classes.
Are landlord laws favorable in Amarillo, TX?
The landlord environment in Amarillo, TX is landlord-friendly. Statewide rules shape most day-to-day operations for rental owners.
How much is rent in Amarillo, TX?
Expect rents around $1,839/mo per month in Amarillo, TX. With home values at $263K, the yield math works out to reasonable levels for rental investors.
Is Amarillo in TX worth investing in?
Amarillo, TX stands at an investability rating of 3.0/5, with median home values near $263K and average rents around $1,839/mo. That combination puts it in the resilient tier for investor interest.
You know 79118 now. You don’t know where it ranks.
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How 79118 ranks in Amarillo, TX
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