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Rent Analysis: Del Rio, TX

Updated 2026 · Based on median market data for Del Rio, TX

Cap Rate
4.81%
Median Price
$205K
Rent/Mo
$1,330
1% Rule
0.65%
Fails

Rent Overview

The median monthly rent in Del Rio, TX is $1,330, translating to $15,960 in annual gross rental income per unit. The rent-to-price ratio is 0.65% — well below the 1% rule, making pure cash flow investing challenging at median prices and requiring investors to target below-median purchases or value-add strategies. For context, a 0.65% rent-to-price ratio means that for every $100,000 invested in property, you collect approximately $649/mo in gross rent. The gross rent multiplier of 12.8x means it takes 12.8 years of gross rent to equal the purchase price — a moderate ratio typical of balanced markets.

Rent Affordability

Renters in Del Rio spend approximately 25% of the local median household income ($63,735) on rent. This is within the healthy 25-30% range, indicating rent is affordable relative to local incomes. There may be room for moderate rent increases, especially for updated or well-located units. The 30% affordability ceiling suggests maximum supportable rent of approximately $1,593/mo — that is $263/mo above current median rent.

Vacancy & Tenant Demand

The vacancy rate in Del Rio is 5.8%. This is a healthy vacancy rate that indicates balanced supply and demand. You should be able to find quality tenants without extended vacancies, though expect normal turnover periods of 2-4 weeks between tenants. Budget for one month of vacancy per year in your underwriting to be conservative. Population growth of 1.8% annually is actively adding rental demand, creating a tailwind for landlords.

Gross Rent Multiplier

Del Rio's GRM (price divided by annual rent) is 12.8x. A GRM between 12-16x is moderate and typical of balanced markets. Deals can work but you need to keep expenses controlled and buy at or below the median to achieve strong returns. For comparison, the national average GRM for investment-grade rentals is approximately 13-15x. To beat Del Rio's median GRM, target properties where you can achieve rents above $1,330 through renovations, better marketing, or targeting underserved tenant segments — or buy at a discount to the $205,000 median price. Every point lower on GRM translates to roughly 0.5-0.8% improvement in your cap rate.

Rental Income Projection

At the median rent of $1,330/mo, a single-family rental in Del Rio generates approximately $15,960 in gross annual income. After accounting for 5.8% vacancy ($926 lost), property taxes of $3,526, insurance (~$820), and maintenance (~$820), the estimated NOI is $9,868 per year, or $822/mo. Adding an 8% management fee ($1,277/yr) reduces investor cash flow further. Before debt service, you are looking at approximately $8,592/yr in landlord net income. Whether this is attractive depends on your total capital invested — at a $41,000 down payment, the unlevered yield on equity from NOI alone is 24.1%.

Rent Growth Potential

Rent growth in Del Rio is driven by the interplay of population growth (1.8%), income growth, and housing supply constraints. With population expanding at 1.8% annually, demand for rental housing is growing faster than most markets can build, which supports above-average rent increases. Projected rent growth of approximately 4% annually would push the current $1,330/mo to $1,496 in 3 years and $1,618 in 5 years. The affordability headroom of $263/mo between current rents and the 30% income threshold provides substantial room for rent increases without pushing tenants into financial stress.

Tenant Profile

With a median income of $63,735 and affordable home prices ($205,000), many tenants in Del Rio are working families and individuals who could buy but choose to rent — or are saving for a down payment. This creates a reliable tenant base that values stability and tends to stay longer, reducing turnover costs. In a smaller market of 50,000 residents, word-of-mouth and local listing platforms may be more effective than national sites for finding tenants.

Management Considerations

Del Rio is a smaller market where professional PM options may be limited. Fees can run 10-12% of rent, and the quality of available managers varies widely. At $1,330/mo, management costs roughly $146/mo. Self-management makes sense if you are local, have fewer than 5 units, and the rent level justifies your time — at $1,330/mo, self-management of a small portfolio saves meaningful dollars but professional management becomes economical at 3-4 units.

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How Del Rio Compares

Del Rio vs Texas state average and national average across key investment metrics. Del Rio outperforms both benchmarks on cap rate.

Metric
Del Rio
Texas Avg
National Avg
Cap Rate
4.81%
3.89%
3.81%
Median Price
$205K
$264K
$333K
Median Rent
$1,330
$1,415
$1,524
Property Tax
1.72%
1.72%
1.08%
Vacancy
5.8%
5.8%
5.6%
Pop. Growth
1.8%/yr
1.8%/yr
0.9%/yr

Nearby South Markets

City
Cap Rate
Price
Rent
Tax
Del Rio, TX
4.8%
$205K
$1,330
1.72%
Montgomery, AL
6.3%
$205K
$1,380
0.41%
Columbus, GA
5.0%
$205K
$1,230
0.91%
Brownsville, TX
5.3%
$205K
$1,420
1.64%
Owensboro, KY
5.7%
$205K
$1,330
0.82%

Frequently Asked Questions

What is the average rent in Del Rio, TX?
The median monthly rent in Del Rio is $1,330, or $15,960 per year. This is 13% below the national average of $1,524/mo. Rent levels vary by neighborhood, property condition, and unit size — always verify comparable rents for your target property.
Is Del Rio a good rental market for landlords?
With a rent-to-price ratio of 0.65%, Del Rio falls below the 1% rule, meaning cash flow depends on buying below median or achieving above-median rents. The 5.8% vacancy rate signals tight rental demand, favorable for landlords.
How does Del Rio rent compare to Texas averages?
Del Rio's median rent of $1,330/mo is 6% below the Texas average of $1,415/mo. Home prices at $205K are below the state average of $264K, giving Del Rio a rent-to-price ratio of 0.65% vs 0.54% statewide.
What is a good rent-to-price ratio?
The 1% rule says monthly rent should be at least 1% of purchase price ($1,000/mo rent on a $100,000 home). Del Rio's ratio is 0.65%. Generally, above 0.8% is workable with good financing, above 1% is strong, and above 1.2% is exceptional. The national average across the 300+ cities we track is 0.46%.
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More Del Rio Guides

Rental Property Investment GuideProperty Tax GuideCost of Living & AffordabilityAppreciation & Growth ForecastNeighborhood Investment Guide

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