Investment metrics, interactive calculators, and data-driven analysis for Amarillo rental properties.
Pre-filled with Amarillo medians. Adjust to match a specific property.
Factor in financing to see your actual return on invested capital in Amarillo.
Amarillo, TX has a population of 200,810 and has been growing at 0.7% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $175,000 paired with median rents of $1,100/mo produces an estimated cap rate of 4.66%.
Property taxes at 1.62% are notably high and represent a significant drag on cash flow — model this expense carefully, as it can make or break a deal. The vacancy rate of 6.1% is moderate and within normal parameters for a healthy rental market.
At a price-to-income ratio of 3.4x, homes cost about 3.4 times the local median income of $51,800. This relatively affordable ratio suggests a deep pool of renters who find buying out of reach, supporting rental demand. Home values have appreciated at roughly 2.2% annually. Steady appreciation means total returns will be primarily cash flow-driven — the more sustainable model for long-term wealth building.
Bottom line: Amarillo presents moderate opportunities. Cap rates near 4.66% mean deals need careful sourcing — look for value-add rehabs or emerging neighborhoods where rents are climbing.