Real Estate Investing in Kyle, Texas (78640)
Should you buy in 78640 (Kyle, TX)? Our answer, based on the numbers below.
Mixed — values have been flat. OK for long-horizon buyers, less attractive if you may need to sell soon.
A cash-flow market — rent-to-price math works from day one, though value growth is modest. Great for income-focused investors.
- Flat appreciation: Values have barely moved over 5 years (1.5% CAGR).
- 1-year downturn: Values declined 3.8% in the last year.
What’s happening in Kyle, TX (78640)?
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Market Analysis: 78640 Kyle
Not every below-median market is a bargain. Kyle's 78640 ZIP comes in at signals that favor experienced operators who can absorb the risk $301K pricing implies.
The 78640 ZIP can work — but only with a tight operating hand. Remote landlords and passive investors tend to struggle here more than the underwriting suggests.
Turning to rents, 78640 offers a low basis, the region around Kyle has moved on in ways that the ZIP itself has not fully absorbed. The result is a discount with genuine reasons.
The demographic picture in 78640 includes headwinds that any investor should price in. Income distribution skews lower than Kyle averages, and tenant stability requires active management.
New investors are better served looking at Kyle's stable or hybrid ZIPs before stepping into 78640. The learning curve here is expensive when the lesson is wrong.
Here's what matters if you're considering buying a home in Kyle:
Property Strategy for 78640
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $234,399 | $1,810 | 5.6% | +3.7% | $117,199 |
| 3BR | $280,836 | $2,290 | 5.9% | +4.2% | $93,612 |
| 4BR | $330,521 | $2,700 | 5.9% | +4.6% | $82,630 |
| 5BR | $390,316 | — | — | +4.7% | $78,063 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 78640 Compare?
| Metric | 78640 | Kyle | Austin-Round Rock-Georgetown, TX | Texas |
|---|---|---|---|---|
| Home Value | $300,867 | $300,867 | N/A | $297,000 |
| 5-Year CAGR | 1.5% | 1.5% | N/A | 5.4% |
| Avg Rent | $1,666 | $1,666 | N/A | - |
| Cap Rate | 4.3% | 4.3% | - | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 78640 (Kyle, TX). Anonymous, moderated, never written by AI.
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Property managers serving Hays County
Manage rentals here? List your business →Jenkins Property Management provides property management services. summary from their website
Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.
📊 Market Snapshot
| Home Value | $300,867 |
| Monthly Rent | $1,666 |
| Price-to-Rent | 15.1:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 6.6% |
| Cap Rate | 4.3% |
| 5-Year IRR | 5.8% |
📈 Home Appreciation
| 1-Year | -3.8% ▼ |
| 3-Year CAGR | -5.4% ▼ |
| 5-Year CAGR | +1.5% ▲ |
| 10-Year CAGR | +4.2% ▲ |
🏠 Rent Trends
| 1-Year | -0.2% ▼ |
| 3-Year CAGR | -2.4% ▼ |
| 5-Year CAGR | +2.1% ▲ |
The current 30-yr mortgage rate (6.5%) exceeds the estimated cap rate (4.3%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.
Run an IRR Analysis →⚠️ Risk Signals
Composite view of factors that can impact a ZIP's stability and your downside risk.
Demographics in 78640
Population: 71,460
Crime & Safety
Crime & Safety Data Coming Soon
We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.
Expected: Q1 2025
🎓 Schools in 78640
Schools in This ZIP Code
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
🎓 Nearby Colleges & Universities
Investor Insight: With 1,665 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
How do experienced investors play Kyle, TX?
In Kyle, TX the notable play is typically careful cash-flow rentals with hands-on management. The combination of $301K prices and $1,666/mo rents suits that approach.
Are rents high in Kyle, TX?
The typical rental in Kyle, TX commands about $1,666/mo monthly. That rent profile stable cash flow against the $301K purchase basis.
What is the typical renter like in Kyle, TX?
The tenant pool in Kyle, TX is solid, supported by local employment and population fundamentals. Rents of $1,666/mo are well-absorbed by the market.
Is house hacking profitable in Kyle, TX?
The house hack math a challenging in Kyle, TX. Owner-occupant buyers benefit from the $1,666/mo rents and $301K home values.
Is Kyle, TX a good place for real estate investing?
Kyle, TX rates 3.0/5 for investability. With median values at $301K and rents near $1,666/mo, the market offers reasonable fundamentals for rental investors.
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