While Houston is often praised for its affordable housing compared to the rest of the country, the city has not been immune to the nation’s surging rent prices.
A recent analysis of Houston-area properties revealed the neighborhoods with the highest and lowest rental and sale prices, according to Awning.com. The study, which was based on proprietary and Houston Multiple Listing Service (MLS) data, compared 145 Houston metro area ZIP codes with populations greater than 100,000.
According to the report, the most expensive homes in Houston can be found in Greenway/Upper Kirby, University Place, Greater Uptown, Afton Oaks/River Oaks and Midtown. The median monthly rent for three-bedroom apartments in these neighborhoods is over $3,100, while the median sale price is $599,000 or higher.
The most affordable rental units were found in Northshore, Eastex-Jensen, East Houston, Greater OST/South Union and Kashmere Gardens. The average monthly price for a three-bedroom home in these areas is $1,350 or below.
Neighborhoods with the least expensive sale prices are located in East Houston, Greater OST/South Union, Northshore and IAH Airport. Listing prices in these areas for three-bedroom homes are under $165,000.
To identify areas with the best value for investors, Awning compared ZIP codes based on factors including the number of available listings, risk and return potential and appreciation rates.
According to the report, these are the most valuable ZIP codes for investors in the Houston metro area:
1. 77373 (Spring, TX)
2. 77503 (Pasadena, TX)
3. 77546 (Friendswood, TX)
4. 77040 (Houston, TX)
5. 77379 (Spring, TX)