Hot 'Hoods

This under-the-radar Houston neighborhood has it all, real estate experts say

Houston real estate townhome Independence Heights

Independence Heights has real value for first-time buyers, says a real estate expert.

Photo courtesy of HAR

Prospective homebuyers in search of a neighborhood that "has it all" have a strong option in Houston's Independence Heights. That's according to Redfin's 2018 list of the 25 neighborhoods in the U.S. that have everything a buyer wants: affordable homes, lots of inventory, good schools, an easy commute, and relatively low crime.

To determine the rankings, the real estate website's analysts looked at ZIP codes with a median home sale price below $291,700 (the national median) and selected those with homes on the market for at least 46 days. Redfin required a GreatSchools rating of 5 or higher and a transit score of 50 or more, and the ranking "favored places with lower reported violent crime."

Houston's Independence Heights ranks No. 13. The area, located near The Heights and Garden Oaks/Oak Forest, has a median sales price of only $137,000, and homes are on the market a median of 69 days, according to Redfin. The under-the-radar neighborhood also boasts a school ranking of 5.667, transit score of 50.5, and crime rate of 61 (the lowest among the Texas neighborhoods on the list).

"When you mention Independence Heights, most people don't know the area," says Bryan Beene, a realtor with John Daugherty Realtors. "But when you give them the parameters of the neighborhood, they say, 'oh yes.' And when you drive over there, you see that people clearly do know the area. There is so much new construction going on, the streets have been repaired or are in good shape, and there’s infrastructure. But for whatever reason, it's just not as talked about. But it's high time people consider Independence Heights."

Beene says Independence Heights is especially attractive to millennial homebuyers. "There is character and charm, it's a historic district, and it's a neighborhood that feels like a neighborhood — they're not buying a townhome in sea of townhomes." The added value that Independence Heights offers is also key to young buyers. "They can buy a home that they can comfortably afford and still aspire to the lifestyle they want," Beene says.

He compares the value to that of another neighborhood that was once little-known and is now red-hot. "Independence Heights reminds me of Rice Military, back in 2008," he says. "And like Rice Military, Independence Heights will be a very strong value in five to 10 years."

Independence Heights isn't the only Texas neighborhood that "has it all," according to the study. Also on the list are San Antonio's Lafayette Place (No. 19), Dallas' Cadillac Heights (No. 21), and Fort Worth's 76102 ZIP code (No. 23). All that's missing is a hip Austin 'hood.

While Texas fares well, Illinois shines with 14 neighborhoods on the list — 11 in the Chicago area alone.

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bang for your buck

These are the 6 most affordable ZIP codes for Houston renters

Facebook / City of Bellaire, Texas

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Trying to afford buying a home in Houston is difficult enough with current mortgage rates, and doubly so if you're already paying high rent on an apartment or a house. But there are six Houston ZIP codes where renters can get the most bang for their buck, according to a new study by financial services company CashNetUSA.

To find the most affordable ZIP codes to rent in the U.S., analysts compared median household incomes by ZIP code to the average annual rent costs using the Zillow Observed Rent Index. ZIP codes where the average annual rental costs required the lowest percentage of median household income were considered the "most affordable."

Two Houston-area ZIP codes specifically stood out in CashNetUSA's ranking of the most affordable ZIP codes for renters in America: 77401 in Bellaire (No. 9) and 77094 in the Energy Corridor (No. 12).

According to the study's findings, the average monthly cost of a rental in Bellaire comes out to $2,401.25, and the median annual income of a Bellaire household is $210,577. Analysts then calculated that the annual rent of a home in the Bellaire ZIP code only takes up 13.68 percent of a household's median income, which is the ninth-lowest in the nation.

But as Houstonians know all too well, Bellaire residents aren't exactly struggling to pay their rent, seeing as they live in one of the wealthiest places in America.

Meanwhile in Houston's 77094 ZIP, annual rent costs only represent 13.88 percent of a household's median annual income. The area – which encompasses the Kingsland Estates, Green Trails, Green Trails Oaks, Windsor Park Estates, Windsor Park Lakes, and Barker neighborhoods – has a median household income of over $168,000, and average rent costs add up to $1,944.58, according to the study.

CashNetUSA found the No. 1 most affordable ZIP code for renters nationwide is 66224 in Leawood, Kansas, where annual rent only takes a 10.57 percent cut out of a household's median annual income.

Elsewhere in Texas, San Antonio's 78248 ZIP ranked as the No. 4 most affordable ZIP code for renters in the U.S., and the No. 1 most affordable ZIP code statewide. The North Texas ZIP code 75013 in Allen ranked two spots behind Houston to claim the No. 14 spot nationally.

The most affordable Houston ZIP codes for renters
CashNetUSA further unveiled the five most affordable ZIP codes across major U.S. cities, including in Houston, Austin, and San Antonio.

Following 77094 (which took the No. 1 spot citywide) is 77008 (No. 2), which spans Greater Heights, Houston Heights, Shady Acres, and Lazybrook/Timbergrove. Rent costs in this ZIP code averaged out to $1,856 per month, the report found.

Landing in the No. 3 spot is 77024, which includes four of Houston's historic Memorial Villages, including Hedwig, Bunker Hill, Hunters Creek, and Piney Point. The report said average rent in the area comes out to $1,730 per month, which takes up 16.88 percent of a household's median annual income.

The remaining top two most affordable ZIP codes for Houston renters are located in 77007 (Washington Avenue Coalition/Memorial Park, Rice Military, and Crestwood/Glen Cove) and 77345 in Kingwood, which is about 30 miles north of downtown Houston.