Dallas Investment Property for Sale - 2024 Rental Home Appreciation

Home of the Dallas Cowboys, a growing population, and a vibrant social scene, Dallas, Texas, remains a prime area for real estate investors.

Recently, The National Association of Realtors named Dallas one of the top ten most resilient markets in the United States. In 2018, before the pandemic, around 250,000 moved to Dallas, and more continue to move in from around the country, especially on the West Coast.

Dallas’ population growth and job market may continue to support rising rent costs, making it an attractive investment opportunity.

Dallas's Attractive Housing Market

Housing costs in Dallas have risen consistently for seven years and show a little decline. This comes as people are migrating from more western and northern areas to avoid the high cost of living and cold.

Dallas real estate has been highly competitive and became more so during 2020-21. Realtor.com places the Dallas suburbs in the top ten areas in the country that saw the most population growth last year.

Touted as one of the more low-cost markets in the country, the Dallas area has experienced a dramatic increase in single-family homes being built, but supply still hasn’t caught up with demand.

Condos and multifamily units remain strong since the Dallas-Fort Worth metroplex has a fairly balanced renter-to-homeowner ratio. As the sale price of homes has increased, so has the cost of the rent.

Some highly rated Dallas neighborhoods are Lake Highlands, Oak Lawn, and Oak Cliff.

• Lake Highlands in North Dallas boasts numerous hiking opportunities and other healthy-living experiences. Lake Highlands offers a boutique lifestyle in a great location with multiple home prices into the million-dollar range. North Dallas also has great schools in the DFW system.
• Oak Lawn celebrates diversity, green spaces, and excellent eating. Located near downtown Dallas, Oak Lawn is trendy and welcoming.
• Oak Cliff, also near downtown Dallas, includes the Bishop Arts District as well as the Dallas Zoo, the renovated Texas Theatre, and the Kessler music venue. This neighborhood features a mix of eclectic restaurants and shops for locals and tourists alike.

Rental Home Appreciation in Dallas

With the high demand for housing but not enough single-family houses to go around, a rental property should remain a robust real estate investment in the Dallas real estate market.

Dallas homes and their costs have increased enough to make the rental property desirable for some looking into the Dallas real estate market for the first time. Many people are using rentals as their short-term solution as they continue to work with a lender and realtor to find (or build) their dream home.

In addition to your standard long-term rentals, the Dallas area shows at least 4,000 short-term rentals listed in a reasonably low-regulation environment. Despite the competitive real estate market in and around Dallas and its suburbs, investment property is still widely available.

The vibrant arts scene in Dallas, job growth, and beautiful spaces such as White Rock Lake should continue to draw and keep renters.

Frisco, Texas, is just North of Dallas and offers educational centers for children to explore, Dr. Pepper Stadium, The Star in Frisco, and the National Videogame Museum.

Dallas is also relatively close to Houston, Plano, Garland, Richardson, and other major cities, making it a convenient location for business travelers.

Economic Growth in Dallas

Many of the largest employers in Dallas are in the tech, airline, health care, and education industries. Texas Instruments, Lockheed Martin, and Raytheon bring in tech-savvy workers. Southwest and American Airlines are both significant sources of employment.

Non-profit and for-profit hospital systems make Dallas a hub in the health care system, and the independent school districts in the area employ tens of thousands of educators and administrators. Commercial and residential construction is also a steady staple in the metroplex.

The unemployment rate hovered around 4% until March 2022, when the rate was closer to 3%.