Rosebud, TX — Rental Investment Analysis
🟢GOOD— solid returnsGood
Solid returns, moderate risk · Score: 65/100
Data: HUD FMR FY2024 + Zillow ZHVI April 2026 + Freddie Mac rates. Last updated June 2026.
Investment Summary
As of 2026, Rosebud, TX has a median cap rate of 8.0%, making it one of the top cash-flowing rental markets in the United States.
Rosebud is one of the strongest cash flow markets in the data. At $157,065 median home price, Rosebud is affordable by national standards and within reach for most conventional loans. With 3-bedroom rents around $1,540/month, the 8.0% cap rate tells the story. Expect around +$204/month cash flow after mortgage, taxes, insurance, and reserves.
The 1% rule comes in at 0.98% — doesn't quite pass, but close enough to find individual deals that work. DSCR of 1.24 is tight — you'll pass most lender minimums but with little margin for error.
Bottom line: Buy here if you want reliable monthly income. Rosebud is a cash flow market — don't expect rapid appreciation, but the checks come in every month.
Data sources: HUD Fair Market Rents (FY2024), Zillow Home Value Index (April 2026), Freddie Mac Primary Mortgage Market Survey.
Cap Rate
8.0%
Above average
Monthly Cash Flow
+$204
After all expenses
Price-to-Rent
8.5
Investor-friendly
DSCR
1.24
Tight
Key Metrics
- Median Home Price
- $157,065
- Average Rent (3BR)
- $1,540/mo
- Price-to-Rent Ratio
- 8.5(good)
- 1% Rule
- 0.98%(fails — need 1%+)
- Cash-on-Cash Return
- 6.8%
- Vacancy Rate
- 8.0%
Market Strength
- Unemployment Rate
- 4.3%(0% vs national)
- Rent Growth (YoY)
- +2.9%(national avg)
- Population Growth
- +1.5% YoY
Property Tax Rate
1.68%
of assessed value (TX avg)
Median Income
$67,321
household (TX avg)
Rent-to-Income
27.5%
Affordable
Section 8 Max Rent
$1,540/mo
3BR voucher payment
TX Investor Climate
Landlord Friendly
9/10
State Income Tax
None
Property Tax
1.68% effective
Population Trend
+1.5% (3yr)
Best Zip Codes in Rosebud for Investors
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