%
CapRateCity
Free cap rate calculators for every US market
MarketsTexasCorpus Christi

Corpus Christi, TX Cap Rate: 4.76% — Rental Property Analysis

Corpus Christi is the largest Texas Gulf Coast city outside Houston and structurally unlike any other Texas metro — built around the Port of Corpus Christi (the largest US oil-export port by volume), Naval Air Station Corpus Christi, and a deep petrochemical refining cluster. The 4.76% cap rate at a $220,000 median price keeps the 0.65% rent-to-price ratio close to functional — Corpus is one of the few coastal Texas markets where the math still pencils. Population growth at 0.8%/yr is modest.

Employment is anchored by the Port of Corpus Christi (the major US Gulf Coast oil and LNG export terminal, with the broader logistics and services ecosystem; the port has continued capital investment driving sustained construction-and-services employment), the petrochemical refining cluster (Valero, Citgo, Flint Hills Resources / Koch, the broader Refinery Row producing meaningful skilled-trades and engineering employment), Naval Air Station Corpus Christi and the Corpus Christi Army Depot (the major helicopter MRO facility — produces and maintains Army helicopters, employs thousands of civilians and contractors), CHRISTUS Spohn Health System (the dominant regional medical system), Texas A&M University-Corpus Christi, and a meaningful Whataburger corporate operation (the chain was founded here and retains operations). Submarkets stratify around water access and the bayfront: downtown / Heritage Park and the North Beach area have premium walkable character; Padre Island and Mustang Island are STR-leaning beachfront with heavy insurance exposure; Calallen and the South Side draw family-school suburban rentals; the West Side and parts of the North Side offer deeper-value workforce inventory; Portland (across the bridge in San Patricio County) extends the metro with cheaper basis.

Texas has no state income tax. Property tax at 1.68% is on the higher end nationally. Nueces County's appraisal cycle is annual. Insurance is the dominant operational variable — Corpus Christi sits on the Gulf with major hurricane exposure (Hurricane Harvey 2017 caused widespread damage), and the Texas coastal insurance market has tightened sharply. The Texas Windstorm Insurance Association (TWIA) is the insurer-of-last-resort for the coastal counties, but premiums have risen sharply and coverage limits have tightened. Get a binder quote per address — verify both standard and TWIA pricing. The structural advantages: durable port + Navy + petrochemical + helicopter MRO employment is unusually diversified for a Texas Gulf metro; BAH supports a predictable rent floor in NAS-adjacent submarkets; the Port of Corpus Christi's LNG-export expansion is a structural growth driver. The structural risks: hurricane exposure and insurance trajectory are real; petrochemical employment is sensitive to global energy cycles and the broader energy-transition narrative.

Market data powered by Zillow Home Value Index (ZHVI) and Zillow Observed Rent Index (ZORI) · Updated Feb 2026

Moderate — source deals carefully
Based on $220,000 median price and $1,420/mo median rent
Est. Cap Rate
4.76%
1% Rule
0.65%
Fails
GRM
12.9x
Price / Income
4.1x

Market Data

Median Home Price$220,000
Median Monthly Rent$1,420
Property Tax Rate1.68%
Population326,586
Population Growth0.8% / yr
Median Household Income$53,800
Vacancy Rate6.5%
Annual Appreciation2.2%

2026 Market Update: Corpus Christi

Corpus Christi's 0.6% rent-to-price ratio is well below the 1% rule. At median prices of $220,000, the $1,420/mo rent produces only $873/mo in NOI. Investors here need to target below-median properties or pursue value-add strategies to make the numbers work.

At current rates, a 20% down conventional loan ($44K at 7%) would result in approximately $-297/mo cash flow — negative at median prices. Larger down payments, seller financing, or buying 15–25% below median are strategies to turn the numbers positive.

Property taxes consume 22% of gross rent here — one of the highest ratios in our dataset. This significantly compresses margins and makes Corpus Christi a market where tax-conscious underwriting is essential. Every deal should be stress-tested with potential assessment increases.

Deal Modeling & Scenarios for Corpus Christi

All figures below are computed from Corpus Christi's real market medians. Use them as a baseline; override with property-specific numbers in the calculators.

Property Tax Bill in Real Dollars

Annual$3,696
Monthly$308
% of Gross Rent21.7%

At 1.68% effective rate on the $220,000 median price, the annual tax bill is $3,696 — that's very high (top 15% of US markets) (+58% vs the national average of ~1.06%). Verify the actual assessed value before purchase; sale-triggered reassessments can push the bill higher than the seller's current statement.

5-Year Cap Rate Trajectory

If Corpus Christi continues appreciating at 2.2%/yr while rents grow at a conservative 3%/yr, cap rate holds roughly steady as price growth outpaces rent. Year-by-year projection at the median:

YearEst. PriceEst. Rent/MoCap Rate
Today$220K$1,4204.8%
Year 1$225K$1,4634.8%
Year 2$230K$1,5064.8%
Year 3$235K$1,5524.9%
Year 4$240K$1,5984.9%
Year 5$245K$1,6465.0%

Three Financing Scenarios

Same median-priced Corpus Christi property — different capital structures. All-cash maximizes cap rate. Leverage trades cash flow for higher cash-on-cash return when the spread between cap rate and borrowing cost is positive.

ScenarioCash InvestedMonthly Cash FlowAnnual CFCash-on-Cash
All cash$220K$873$10,4764.8%
20% down conventional @ 7%$51K$-297$-3,568-7.1%
25% down DSCR @ 8.5%$64K$-396$-4,750-7.4%

Three Price Tiers: Below, At, and Above the Median

Properties don't always trade at the median. Lower-priced units typically offer higher cap rates but harder operations; higher-priced properties tend to compress cap rates while attracting better tenants. All-cash assumptions below:

TierPriceRent/MoNOI/YrCap RateMonthly CF
Below median (~75% price)$165K$1,207$7,7934.7%$649
At median$220K$1,420$8,6303.9%$719
Above median (~125% price)$275K$1,633$9,4673.4%$789

Total Return Over a 5-Year Hold

Cap rate is just one piece. Real estate returns come from four sources: cash flow, appreciation, principal paydown, and tax benefits. Assuming 20% down conventional financing at 7% and a 5-year hold at Corpus Christi's historical appreciation rate of 2.2%:

Cash Flow (5yr)$-17,842
Appreciation$25K
Principal Paydown$13K
Total Return$21K

On a $44K down payment, that's a 46.9% total ROI over 5 years (not annualized). Tax benefits from depreciation are additional and depend on your personal tax bracket.

Risk Flags Specific to Corpus Christi

Automated checks against the underlying data — surface only the risks that actually apply to Corpus Christi, not generic boilerplate:

Watch closelyProperty tax rate of 1.68% is among the highest in the country. Taxes consume a meaningful share of gross rent — see the tax breakdown above. Stress-test for assessment increases.

Cap Rate Calculator — Corpus Christi

Pre-filled with Corpus Christi medians. Adjust to match a specific property.

Property Details
$
$
3–8% typical
%
Monthly Expenses
1.68% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
3.77%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$8,288
net operating income
Gross Rent Multiplier
12.9x
Good (<15)
1% Rule
0.65%
✗ Fails
Monthly Cash Flow
$691
before debt service
Annual Breakdown
Gross Rental Income$17,040
Less Vacancy−$1,108
Effective Income$15,932
Less Operating Expenses−$7,644
Net Operating Income$8,288
Sponsored
Analyze Deals Faster with DealCheck
Import any property, get instant investment analysis — cap rates, cash flow, rehab estimates, and offer calculations. Used by 350,000+ investors.
Try DealCheck Free →

Cash-on-Cash Return — Corpus Christi

Factor in financing to see your actual return on invested capital in Corpus Christi.

$
$55,000
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-4.90%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$61,600
$55,000 down + $6,600 closing
Monthly Mortgage
$1,076
on $165K loan
Monthly Cash Flow
$-252
after all expenses
Annual Cash Flow
$-3,020
before taxes
Cash Flow Breakdown
Monthly Rent$1,420
Less Expenses−$596
Less Mortgage−$1,076
Monthly Cash Flow$-252

Is Corpus Christi a Good Place to Invest in Rental Property?

Corpus Christi, TX has a population of 326,586 and has been growing at 0.8% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $220,000 paired with median rents of $1,420/mo produces an estimated cap rate of 4.76%.

Property taxes at 1.68% are notably high and represent a significant drag on cash flow — model this expense carefully, as it can make or break a deal. The vacancy rate of 6.5% is moderate and within normal parameters for a healthy rental market.

At a price-to-income ratio of 4.1x, homes cost about 4.1 times the local median income of $53,800. This relatively affordable ratio suggests a deep pool of renters who find buying out of reach, supporting rental demand. Home values have appreciated at roughly 2.2% annually. Steady appreciation means total returns will be primarily cash flow-driven — the more sustainable model for long-term wealth building.

Bottom line: Corpus Christi presents moderate opportunities. Cap rates near 4.76% mean deals need careful sourcing — look for value-add rehabs or emerging neighborhoods where rents are climbing.

Sponsored
Get AI-Powered Property Insights
Homesage.ai analyzes 140 million properties with AI — spot hidden deals, assess property condition, and find investment opportunities. Free to try.
Analyze Properties →

Corpus Christi Investment Guides

Explore Corpus Christi Data

Free Download
Top 25 Cash Flow Cities (2026)
See how Corpus Christi compares to the best cash flow markets in America.
Get the Report →
Analyze listings in Corpus Christi instantly — cap rate, cash flow & more on every Zillow listing
Chrome Extension →
Sponsored
Investor Gear
Google Nest Thermostat
Google
$130
FLIR ONE Gen 3 Thermal Camera
FLIR
$179
Schlage Connect Keypad Deadbolt
Schlage
$229
The CapRateCity Report
Weekly market analysis: highest cap rate cities, emerging markets, and deal breakdowns. Free, no spam.

Related Cities Near Corpus Christi

Similar Markets in the South

Odessa, TX$250K · $1,610/mo
4.8%
St. Petersburg, FL$355K · $1,980/mo
4.8%
Norman, OK$240K · $1,360/mo
4.8%
Fort Lauderdale, FL$470K · $2,650/mo
4.8%
Tampa, FL$355K · $1,980/mo
4.7%
Run a BRRRR analysis for Corpus Christi
Model a buy-rehab-refinance deal with Corpus Christi data pre-loaded.
Open BRRRR Calculator →