They say everything is bigger in Texas, and Texans embrace their reputation for big, bold moves. Being the second largest state in terms of population and geographic area amplifies the vastness and the boldness that is typically Texas. With total land area close to 270,000 square miles, the state is diverse. City lights and city dwellers define the pulse of the larger metro areas, but small towns and laid-back living are part of the state’s appeal. Beaches, high-country adventures, big universities, and the flourishing art and music scene are just some of the reasons that the state has attracted a significant share of in-migration in the last few years.
Search Texas Foreclosure Homes
What Makes Texas Thrive
The state’s remarkable economic growth can be attributed to a diverse economic base that includes agriculture, mining, and energy industries. Mindful of the shifts in the oil sector, the state has been successful in diversifying its economy by bringing in technology, financial and health services companies to strengthen the regional economy.
- Economy – The Texas economy is estimated to be worth $1.6 trillion and still growing. With at least 50 Fortune 500 companies headquartered in Texas, the state will continue to attract young, upwardly mobile age groups.1
- Population growth – Population shifts in America’s cities are largely due to economic factors. With a stable economy and diverse job opportunities, the Lone Star state will continue to be one of the main relocation destinations. According to the U.S. Census Bureau, Texas added 2.3 million new residents between 2010 and 2015. In 2018, the population is expected to reach 28.3 million then exceeding the 29-million mark by 2019.2
- Housing affordability – As the real estate market recovered, home prices in many of the big cities in the U.S. rose to levels that made home ownership impossible for many families. Texas real estate prices remain affordable in relation to median household incomes.3
- Weather – Winters are mostly mild in this region, and fair weather dominates most days. The state has 232 clear days a year, which is close to eight months of sunshine and pleasant weather.
- State income tax – Texas is one of eight states that foregoes collection of state income taxes, leaving wage earners with more money in their pockets.
Top Suburbs for Real Estate Investing
The housing market in this state has been stellar, bouncing back easily after the recession due to a combination of factors cited above. The median home price for the state is placed at $289,500 with median valuation at $187,000. Home prices have been trending upward, rising by 6.7 percent in the last year alone. Texas real estate prices are expected to grow by 4.1 percent for the period ending July 2019.4
Houston
Houston is one of the top destinations for Texas transplants due to the availability of jobs across different industries and an abundance of affordable housing.
The population of the Houston metro area is estimated at 6.9 million with median household income measured at $62,900. The unemployment rate is 4.4 percent, which is above the state rate of 3.6 percent.5 The industrial base of Houston includes energy, aeronautics, health services, and transportation, which are boosted by the presence of the Port of Houston, one of the nation’s busiest ports. This is the corporate home of 26 Fortune 500 and 49 Fortune 1000 companies.
The real estate market is stable with a median home price set at $238,000, and median monthly rent placed at $1,285, making it one of the more affordable metro areas.6 Investors will find numerous opportunities to buy properties with potentially positive equity growth. Auction.com, which specializes in the sale of bank-owned and foreclosure properties, provides updated listings of this type in Houston. Browse the list to explore available properties to see if one meets your requirements.
Corpus Christi
The coastal city of Corpus Christi is the eighth largest in the state. Its location by the bay makes it attractive to anyone who prefers water views and different types of waterfront and beach activities. The city is ethnically and financially diverse.
The median home price in Corpus Christi is $161,500 with the number of available housing units stable. Listings take about 140 days on the market before closing transactions, which is about double the DOM (days on market) from a year ago. Home prices are expected to grow by 3.4 percent although job growth will be unchanged, unlike the larger Texas cities.7 Explore the listings of available properties on Auction.com for a quick look at possible investment opportunities in Corpus Christi.
San Antonio
San Antonio is one of the state’s boom towns and top suburbs with the population expected to grow by 3.3 percent over a two-year period. This city is the second largest in Texas. Employment growth is estimated at 2.2 percent year-over-year, which is about par for the area. Home prices will jump 8 percent and rent yields are estimated to improve by 6.4 percent.8
San Antonio has an efficient public transportation system, which is helpful to commuters. It has been ranked as one of the best places to invest in condo properties. If you are considering an investment in San Antonio real estate, head to Auction.com to browse listings of available, and possibly, value-priced properties that can boost the returns of your housing portfolio.
El Paso
El Paso in West Texas is one of the state’s best-kept secrets when it comes to real estate investing. The median home price is $143,700, which is below the state and national median prices. Prices have not appreciated as much as Dallas or Austin, suggesting that the smart investor will find opportunities to buy properties with built-in equity. Modest increases in housing prices relative to the rest of the state indicates affordability especially considering that the job market is stable with a 2.3 percent growth rate. To map out your investment strategy for this area, spend time on the Auction.com website to examine the listings of available houses for sale.9
Fort Worth
Fort Worth in North Texas is typically lumped with Dallas when it comes to discussing the economy. It is the fifth largest city in the state and 15th largest in the nation. Today, it boasts of hosting the headquarters for some of the world’s largest corporations, including American Airlines Group, Pier 1 Imports, GM Financial, and XTO Energy. Fort Worth has been on the Forbes’ list of Best Places for Business and Careers, Fortune’s Best Cities for Hispanic Entrepreneurs and U.S. News & World Report‘s list of 125 Best Places to Live in the USA.
The median price for Fort Worth homes is $306,902 with median housing prices rising by 4.6 percent, which is slower than the statewide growth rate of 6.3 percent.10 The fact that price appreciation is slowing down indicates buying opportunities for real estate investors. The Auction.com website presents listings of Fort Worth properties that are worth checking out for the yield potential.
Dallas
Dallas is a corporate hub much like Chicago and Atlanta in their respective states. It continues to redefine itself with redevelopment projects to bring foot traffic back to the downtown area. Median home price is $450,000 with prices rising by 10 percent.11 A solid economic base, steady job growth and a lifestyle that appeals to millennials ensure the long-term growth of real estate investments in Dallas.
This is one of the most competitive housing markets with very little changes in inventory levels. Find out how you can get an inside track on Dallas real property investments by checking out the listings on Auction.com.
Fire up your investment portfolio with Texas properties. Every first Tuesday of the month, Auction.com presents a massive Super Tuesday auction in different counties in Texas.
Sources:
1,2,3 Texas Is the Best Place To Live In America Right Now. Here’s Why | Money
Shaina Mishkin – http://time.com/money/5401004/best-places-texas/
4 Houston Real Estate Forecast: 7 Things To Look Forward To (or Fear) in 2018
https://www.houstonproperties.com/houston-real-estate-forecast-2018
5,6 Houston, Tx
https://www.forbes.com/places/tx/houston/
7 Corpus Christi, Tx Real Estate Market Trends – Movoto
https://www.movoto.com/corpus-christi-tx/market-trends/
8 The Best and Worst Cities To Own Investment Property
Andrew DePietro – https://www.gobankingrates.com/investing/real-estate/best-worst-cities-own-investment-property/#32
9 El Paso | Real Estate Market And Trends
Merrill – https://www.fortunebuilders.com/el-paso-real-estate-and-market-trends/
10 Texas Real Estate Market 2018 Steals 7/15 Spots in New Study For Top Markets | Mashvisor
https://www.mashvisor.com/blog/texas-real-estate-market-top-markets/
11 Can You Afford To Live Here?
https://www.texasmonthly.com/articles/the-great-texas-real-estate-boom/
