Side-by-side comparison of Arlington, TX and Houston, TX — cap rates, rent, prices, and investment metrics.
Cash flow: Arlington has the edge with an estimated cap rate of 3.10% compared to Houston's 2.90%. Neither city passes the 1% rule outright, so deal sourcing and value-add strategies become more important. Median home prices are $295,000 in Arlington vs $310,000 in Houston, while rents come in at $1,480/mo and $1,520/mo respectively.
Growth & appreciation: Houston is growing faster at 1.5% annually vs Arlington's 1.3%. Houston leads on home value appreciation at 2.8% per year.
Costs & risk: Property taxes are 1.77% in Arlington vs 1.81% in Houston. Vacancy rates of 5.9% and 6.4% are mixed — Arlington has the tighter rental market.
Bottom line: Arlington edges out Houston on most key metrics. While cap rates are moderate at 3.10%, Arlington's overall profile is stronger. Use our free calculators to model specific deals in Arlington or Houston.