Housing Report

This Houston neighbor is one of the best cities for first-time homebuyers

Another win for Pasadena.

One bright spot in 2020 has been the housing market. With interest rates at historic lows, people are making the move to buy a new home — for many, their very first. And where should those first-time homebuyers look? All around Texas, according to a new national study.

SmartAsset recently released its 2020 edition of the best cities for first-time homebuyers, and eleven Lone Star cities, including one in the Houston area, appear on the nationwide list of 40.

To determine the rankings, the financial advice site compared 185 of the largest cities in the country across metrics in four categories: home market favorability, affordability, livability, and employment.

Houston neighbor Pasadena ranks No. 23 and makes a strong showing for market favorability, affordability, and employment. While SmartAsset gives it a low score for livability (only 39.22 out of 100), Zillow and Yelp recently crowned it one of America's top 10 under-the-radar suburbs.

Garland, No. 8, is the only Texas city to land in the top 10. The Dallas neighbor scores especially well in the employment (No. 3) and home market favorability (No. 13) categories.

Between 2013 and 2018, Garland's median home value jumped 56 percent, "the fourth-highest increase of any city in our top 10," SmartAsset notes. During the same time period, the median household income grew almost 32 percent. "With incomes rising, individuals may be able to put more money toward their savings and potential down payment," the site says.

The other Texas cities joining Garland and Pasadena on the list are:

Frisco, No. 11
Irving, No. 12
Arlington, No. 18
Plano, No. 24
Corpus Christi, No. 26
McKinney, No. 27
Amarillo, No. 33
Brownsville, No. 37
El Paso, No. 39

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rent report

Here's how much Houston rent prices have dropped since last year

Photo by Datingscout on Unsplash

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Rent prices are falling statewide, and Houston's have declined more than nearly all other major cities in Texas, according to a new national rent report from Zumper. Houston also has the fourth-cheapest rents in Texas.

The Zumper National Rent Report tracked year-over-year and month-over-month rent price changes in 100 U.S. cities for both one- and two-bedroom units using the most recent data available from May 2026.

Rent prices for one-bedroom units in Houston have dipped 9.6 percent year-over-year, to $1,130, which is the second-steepest decline in Texas. Two-bedroom rents have dropped nearly 5 percent from last year to $1,430.

The report also revealed that four of the 10 U.S. metros offering the most concessions are located in Texas. Austin leads nationally with more than a third of rental units "dangling incentives to fill space," followed by San Antonio and Houston. A separate rent report from real estate data firm CoStar found Houston had the fourth highest apartment vacancy rate in the U.S. in March, meaning residents may be able to save on their rent depending on the financial incentives offered by landlords.

Additionally, these same markets offering generous rent concessions are also among the 10 U.S. metros with the largest population growth, which Zumper says signals ongoing tension between tenants and their landlords regarding prices.

"So while Texas absorbed a significant share of the 2023-2025 supply wave, inventory still has to lease up before landlords regain pricing power, and the steady inflow of new residents says the demand is there," the report stated. "It’s just a question of when supply stops outrunning it."

From 2023 to 2024, Texas gained nearly 73,000 net new renters, making it the No. 1 magnet for renters nationwide.

Rent prices elsewhere in Texas
San Antonio saw the steepest drop in rent prices statewide, with one-bedroom rents falling by 10.4 percent to $950. Two-bedroom units have declined 6 percent year-over-year to $1,250.

Arlington was the only major Texas city where rent prices increased from May 2025 to May 2026. One-bedroom rent increased nearly 3 percent to $1,090, and two-bedroom rent increased 2.1 percent to $1,480.

Zumper annual rent changes in Texas cities Zumper

These are the rent prices for other Texas cities in May 2026:

Austin: $1,420 for one-bedroom units; $1,860 for two-bedroom units
Dallas: $1,350 for one bedroom; $1,900 for two bedrooms
El Paso: $810 for one bedroom; $1,130 for two bedrooms
Fort Worth: $1,240 for one bedroom; $1,560 for two bedrooms
Irving: $1,280 for one bedroom; $1,610 for two bedrooms
Plano: $1,360 for one bedroom; $1,900 for two bedrooms

rent rent report zumper apartments real estate houston