land of many high rises

3 Houston ZIP codes are among hottest in U.S. for new apartments, report says

More people means more apartments to fit them all.

Nearly all of Houston has experienced a flurry of apartment construction to accommodate the equally expanding population in the last few years. In fact, three Houston zip codes in the Inner Loop were the hottest markets for new apartment construction between 2018 and 2022, according to a new rental market analysis by RentCafe.

Most impressive for the city, ZIP Code 77007 was the No. 11 hottest market in the U.S., with a 51.8-percent growth rate for apartments. Over 5,000 new apartments were built in the last five years, according to the study. The ZIP code encompasses the area below I-10 from Memorial Park, down Memorial Drive, to where I-10 meets I-45.

Apartment dwellers are surely getting the best views and amenities living so close to the famed Memorial Park, where a state-of-the-art running facility just opened its doors to the public.

Southeast of that area is 77002, which encompasses parts of Midtown, Downtown Houston, the Central Business District, Theater District, and First Ward. The ZIP code ranked No. 24 with a 69.3 percent growth rate from 2018-2022. Nearly 3,700 apartments were constructed within that time frame, according to the study.

Houston locals and newcomers flocking to the area likely moved there for its bustling nightlife, such as the new speakeasy-style cocktail and vinyl bar Off The Record or NYC-based Dominican restaurant and bar Mamajuana Cafe.

ZIP Code 77008 over Lazybrook/Timbergrove, Shady Acres, and Greater Heights earned No. 43 in the study, and had 2,887 new apartments built from 2018-2022. This ZIP Code had the highest growth rate out of all others in the Houston area, at 75.3 percent.

The top 10 zip codes that built the most new apartments from 2018-2022 are:

No. 1 – 20002 in Washington, D.C. (73.1 percent growth rate)
No. 2 – 20003 in Washington, D.C. (122.2 percent growth rate)
No. 3 – 11101 in Queens, New York (73.5 percent growth rate)
No. 4 – 37203 in Nashville, Tennessee (96.6 percent growth rate)
No. 5 – 75304 in Frisco, Texas (69.5 percent growth rate)
No. 6 – 85281 in Tempe, Arizona (38.8 percent growth rate)
No. 7 – 30309 in Atlanta, Georgia (65.1 percent growth rate)
No. 8 – 92101 in San Diego, California (46.4 percent growth rate)
No. 9 – 07302 in Jersey City, New Jersey (41.1 percent growth rate)
No. 10 – 98052 in Redmond, Washington (51.8 percent growth rate)

The full report can be found on rentcafe.com.

apartments growth rate for apartments housing market houston apartment construction inner loop zip codes real estate rent report rentcafe study reports

REAL ESTATE NEWS

More Houston homeowners are becoming 'accidental landlords,' study finds

For Lease Real Estate Sign Hangs in Front Yard of House

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An increasing number of San Antonio homeowners are bcoming "accidental landlords"

Houston homeowners unable to sell their properties are increasingly becoming “accidental landlords,” according to Zillow. The real estate marketplace’s newest analysis says that 4.2 percent of its local for-sale listings recently converted to rentals, making the Bayou City the second-worst U.S. city for the market trend.

Only Denver (4.9 percent) ranks higher, with Austin (4.1 percent) and San Antonio (3.9 percent) not far behind. Seven of the top 10 metros are in Texas or Florida.

Zillow senior economist Kara Ng says today's dynamic is driven by choice rather than panic. Homeowners aren't being forced to sell; they're simply unwilling to accept what the market will actually pay.

"As the market continues to rebalance, sellers are facing a different reality than they did a few years ago," Ng said in a statement. "Bargaining power is tilting toward buyers, and homes are taking longer to sell, making renting out a property one way to buy time rather than compete aggressively on price. After all, today's sellers are rarely forced to sell, and it appears they are often unwilling to budge off of what their heart says their home is worth."

Nationally, the trend is nearing a record high. 2.3 percent of all Zillow rental listings were recently for-sale properties, second only to November 2022, when mortgage rates had doubled in a single year, and sellers were scrambling. That spike was shock-driven, but now stubbornness is likely fueling the shift.

Single-family homes make up the largest share of accidental landlord properties, but condos are seeing the fastest rise. Metros with the hottest buyer competition, including Boston, New York City, and Providence, Rhode Island, have the lowest accidental landlord rates.

For both local buyers and sellers, Goldilocks thinking is increasingly the norm. Sellers, especially those who bought during the COVID-19 boom, are holding their asking price firm to avoid taking a loss. Buyers, for their part, are refusing to compromise on concessions and repairs.

Meanwhile, the city's rental market keeps getting larger. In 2025, rental listings website Point2Homes placed the Houston area among the top 10 U.S. metros building the most new homes for rent.

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