Multifamily Investing in Texas
Texas: Houston · Dallas-Fort Worth
Texas added more residents than any other state in 2025 (Census) and has no state personal income tax (Texas Comptroller). EagleCap buys in two of its metros, Houston and Dallas-Fort Worth. In both, fewer apartments were under construction than a year earlier, and effective rents were 2.0% to 2.5% lower than a year earlier (Cushman & Wakefield, Q3 2026).
- Texas added 391,243 residents in 2025, the most of any state (Census Vintage 2025).
- Texas has no state personal income tax (Texas Comptroller).
- EagleCap buys in two Texas metros: Houston and Dallas-Fort Worth.
Why Texas
Texas added 391,243 residents between July 2024 and July 2025, more than any other state, and its net migration (domestic plus international) of 234,774 was also the largest of any state (Census Bureau, Vintage 2025). The state had 14,461,300 nonfarm jobs in September 2026, 154,300 more than a year earlier (BLS, seasonally adjusted, preliminary). Texas does not levy a personal income tax (Texas Comptroller).
The two metros EagleCap buys in
EagleCap buys value-add apartment communities in two Texas metros: Houston and Dallas-Fort Worth. Each page compares the latest public and broker data side by side, updated every quarter. Here are the two metros on the same measures:
| Measure | Houston metro | Dallas-Fort Worth metro | Source and period |
|---|---|---|---|
| Nonfarm jobs, change from a year earlier | +33,600 (+1.0%) | +43,900 (+1.0%) | BLS, September 2026, preliminary |
| Unemployment rate | 4.6% | 4.1% | BLS, September 2026, preliminary |
| Residents, change from a year earlier | 7,904,627 (+1.63%) | 8,477,157 (+1.48%) | Census Bureau, July 1, 2025 |
| Net international migration | 71,903 | 55,444 | Census Bureau, July 2024 to July 2025 |
| Net domestic migration | 7,308 | 18,197 | Census Bureau, July 2024 to July 2025 |
| Units permitted in buildings with 5 or more units | 7,108 (0.9 per 1,000 residents) | 16,551 (2.0 per 1,000 residents) | Census Bureau, January to September 2026 |
| Median gross rent, all rented homes | $1,550 | $1,744 | Census Bureau ACS 1-year, 2025 |
| Median gross rent as a share of household income | 31.5% | 31.3% | Census Bureau ACS 1-year, 2025 |
| Market vacancy | 11.7% | 9.4% | Cushman & Wakefield, Q3 2026 |
| Effective rent, change from a year earlier | $1,299 (-2.5%) | $1,461 (-2.0%) | Cushman & Wakefield, Q3 2026 |
| Units under construction | Over 11,500 | 29,700 | Cushman & Wakefield, Q3 2026 |
| Rent of primary residence (CPI), change from a year earlier | -0.5% | +1.2% | BLS, September 2026 |
| Cap rate; price per unit | 6.28%; $142,420 (Q2 2026) | 5.66%; $171K (Q3 2026) | Matthews |
Each row uses one source for both metros, so the two columns measure the same thing. Matthews had not published its Houston Q3 2026 report on November 2, 2026, so its Houston figures are Q2 2026.
Supply and selectivity in 2026
Texas metros took in a large wave of new apartments after the pandemic. In March 2026 the Federal Reserve Bank of Dallas wrote that “rents are still declining in most Texas metro areas,” with the sharpest drops in Austin, San Antonio and Dallas, and that concessions ranged “from six to eight weeks of free rent to as much as 10 to 12 weeks in some Texas submarkets” (Dallas Fed, Southwest Economy).
New permits differ widely by metro. From January to September 2026 the Census Bureau counted 16,551 units permitted in buildings with five or more units in Dallas-Fort Worth, 7,108 in Houston and 6,102 in Austin: 2.0, 0.9 and 2.3 per 1,000 residents (Census Bureau building permits).
Local Investor FAQ
Why does EagleCap invest in Texas?
Texas added more residents than any other state in 2025 (Census) and has no state personal income tax (Texas Comptroller). EagleCap buys in two of its metros, Houston and Dallas-Fort Worth.
Is Texas overbuilt right now?
Several Texas metros took in a large wave of new apartments in 2024 and 2025. Dallas-Fort Worth delivered a record 44,218 units in 2024 (Newmark). Construction pipelines have since shrunk: 29,700 units were under construction in Dallas-Fort Worth and over 11,500 in Houston in Q3 2026, 28.6% and 37.0% fewer than a year earlier (Cushman & Wakefield). Effective rents in both metros were 2.0% to 2.5% below a year earlier (same source).
Which Texas metros does EagleCap focus on?
Houston and Dallas-Fort Worth. EagleCap buys value-add apartment communities in those two metros only.
How do out-of-state investors invest in Texas apartments?
There are two common routes. Direct ownership means buying a property yourself, arranging the loan and hiring a local property manager. Passive investing usually means joining a syndication as a limited partner: a sponsor finds, finances and runs the property, and the limited partners put in capital and hold an interest without managing it. Many syndications are open only to accredited investors. The guides to real estate syndication and passive real estate investing linked below explain both in more detail.
- U.S. Census Bureau: state population estimates, Vintage 2025 (NST-EST2025-ALLDATA)
- U.S. Bureau of Labor Statistics: Texas nonfarm jobs (SMS48000000000000001)
- U.S. Census Bureau: building permits by metro, January to September 2026
- Texas Comptroller: Fiscal Notes, December 2023
- Federal Reserve Bank of Dallas: Texas multifamily housing yet to stabilize (March 23, 2026)
- Cushman & Wakefield: Houston multifamily MarketBeat, Q3 2026
- Cushman & Wakefield: Dallas-Fort Worth multifamily MarketBeat, Q3 2026
- Newmark: Dallas-Fort Worth multifamily market report, 1Q26
Market and geographic information is for educational purposes and is not a recommendation or an offer to sell or solicitation to buy any security. All investments involve risk, including loss of principal.
Follow Houston and DFW, quarter by quarter
Read the latest market pages for the two Texas metros EagleCap buys in.
Read the Houston page