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Austin vs Frisco for Rental Property Investing

Side-by-side comparison of Austin, TX and Frisco, TX — cap rates, rent, prices, and investment metrics.

Austin wins 4–3 across key metrics
Austin leads on cash flow (2.47% vs 2.04% cap rate) · Frisco leads on population growth
Metric
Austin, TX
Frisco, TX
Est. Cap Rate
2.47%
2.04%
Median Home Price
$425,000
$520,000
Median Monthly Rent
$1,850
$2,100
1% Rule
0.44%
0.40%
GRM
19.1x
20.6x
Price / Income
5.1x
4.4x
Property Tax Rate
1.68%
1.8%
Vacancy Rate
5.2%
4.2%
Population Growth
2.8% / yr
4.2% / yr
Annual Appreciation
3.1%
3.5%
Population
1,028,225
225,000
Median Income
$82,900
$118,000

Austin vs Frisco: Which Is Better for Investors?

Cash flow: Austin has the edge with an estimated cap rate of 2.47% compared to Frisco's 2.04%. Neither city passes the 1% rule outright, so deal sourcing and value-add strategies become more important. Median home prices are $425,000 in Austin vs $520,000 in Frisco, while rents come in at $1,850/mo and $2,100/mo respectively.

Growth & appreciation: Frisco is growing faster at 4.2% annually vs Austin's 2.8%. Frisco leads on home value appreciation at 3.5% per year. Strong population growth typically translates to sustained rental demand and long-term price support.

Costs & risk: Property taxes are 1.68% in Austin vs 1.8% in Frisco. Vacancy rates of 5.2% and 4.2% are both healthy, suggesting strong tenant demand in both markets.

Bottom line: Austin edges out Frisco on most key metrics. While cap rates are moderate at 2.47%, Austin's overall profile is stronger. Use our free calculators to model specific deals in Austin or Frisco.

Austin, TX
2.47% cap rate · $425,000 median · $1,850/mo
Full analysis →
Frisco, TX
2.04% cap rate · $520,000 median · $2,100/mo
Full analysis →
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