Written by: Ashley Durmo
Introduction
Houston’s real estate market offers diverse opportunities for short-term rental investors. In this guide, we’ll highlight some of the top-performing ZIP codes, showcasing data on gross yield, annual revenue, and home values, combined with insights about the neighborhoods.
77049 – Northshore/Baytown Area
- Gross Yield: 31%
- Annual Revenue: $78,308
- Zillow Home Value: $248.9K
ZIP code 77049 is located in the Northshore and Baytown area, close to major transportation routes like Interstate 10 and the Sam Houston Tollway. This region features a mix of suburban communities, parks, and a robust industrial presence, making it attractive for short-term rentals targeting traveling professionals and families. The high gross yield of 31% and solid annual revenue indicate strong rental demand in this area, possibly due to its strategic location near the Port of Houston and easy access to downtown.
77026 – Fifth Ward
- Gross Yield: 14%
- Annual Revenue: $20,129
- Zillow Home Value: $149.7K
The 77026 ZIP code encompasses the historic Fifth Ward neighborhood, an area known for its rich cultural heritage and proximity to downtown Houston. Despite having a lower gross yield of 14%, the affordable Zillow home value of $148.1K makes entry into this market more accessible for investors. With ongoing revitalization efforts and potential for future growth, investing in this area could be a strategic long-term play, particularly for those targeting travelers interested in exploring Houston’s rich African-American history and vibrant arts scene.
77086 – Greater Inwood
- Gross Yield: 13%
- Annual Revenue: $29,692
- Zillow Home Value: $226.0K
ZIP code 77086 covers the Greater Inwood area, a suburban neighborhood known for its green spaces, like the White Oak Bayou Greenway, and its family-friendly vibe. With a gross yield of 13% and a reasonable annual revenue of $29,692, this area offers a balance between affordability and potential rental income. The neighborhood attracts both tourists and business travelers looking for a quieter stay while being well-connected to Houston’s bustling downtown and surrounding commercial hubs.
