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Rent Analysis: Mount Pleasant, TX

Updated 2026 · Based on median market data for Mount Pleasant, TX

Cap Rate
5.42%
Median Price
$215K
Rent/Mo
$1,510
1% Rule
0.70%
Fails

Rent Overview

The median monthly rent in Mount Pleasant, TX is $1,510, translating to $18,120 in annual gross rental income per unit. The rent-to-price ratio is 0.70% — below the 1% rule but within a range where deals can work with good financing and disciplined expense management. For context, a 0.70% rent-to-price ratio means that for every $100,000 invested in property, you collect approximately $702/mo in gross rent. The gross rent multiplier of 11.9x means it takes 11.9 years of gross rent to equal the purchase price — an excellent ratio that signals strong income relative to cost.

Rent Affordability

Renters in Mount Pleasant spend approximately 28% 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 $83/mo above current median rent.

Vacancy & Tenant Demand

The vacancy rate in Mount Pleasant 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

Mount Pleasant's GRM (price divided by annual rent) is 11.9x. A GRM under 12x is excellent — it means you are paying less than 12 years of gross rent for the property, suggesting strong income relative to price. Markets with GRMs this low typically attract institutional and out-of-state investors seeking yield, which can create competition for the best deals. For comparison, the national average GRM for investment-grade rentals is approximately 13-15x. To beat Mount Pleasant's median GRM, target properties where you can achieve rents above $1,510 through renovations, better marketing, or targeting underserved tenant segments — or buy at a discount to the $215,000 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 $1,510/mo, a single-family rental in Mount Pleasant generates approximately $18,120 in gross annual income. After accounting for 5.8% vacancy ($1,051 lost), property taxes of $3,698, insurance (~$860), and maintenance (~$860), the estimated NOI is $11,651 per year, or $971/mo. Adding an 8% management fee ($1,450/yr) reduces investor cash flow further. Before debt service, you are looking at approximately $10,201/yr in landlord net income. Whether this is attractive depends on your total capital invested — at a $43,000 down payment, the unlevered yield on equity from NOI alone is 27.1%.

Rent Growth Potential

Rent growth in Mount Pleasant 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 $1,510/mo to $1,699 in 3 years and $1,837 in 5 years. The affordability headroom of $83/mo between current rents and the 30% income threshold offers some room for increases, though landlords should be strategic about timing and magnitude.

Tenant Profile

With a median income of $63,735 and affordable home prices ($215,000), many tenants in Mount Pleasant 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

Mount Pleasant 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 $1,510/mo, management costs roughly $166/mo. Self-management makes sense if you are local, have fewer than 5 units, and the rent level justifies your time — at $1,510/mo per unit, the income per unit is high enough that professional management is clearly affordable and preserves your time for deal sourcing.

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How Mount Pleasant Compares

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

Metric
Mount Pleasant
Texas Avg
National Avg
Cap Rate
5.42%
3.89%
3.81%
Median Price
$215K
$264K
$333K
Median Rent
$1,510
$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
Mount Pleasant, TX
5.4%
$215K
$1,510
1.72%
Laredo, TX
4.5%
$215K
$1,330
1.7%
Tuscaloosa, AL
6.7%
$215K
$1,520
0.43%
Morgantown, WV
5.5%
$215K
$1,330
0.58%
Ruston, LA
4.1%
$215K
$1,050
0.54%

Frequently Asked Questions

What is the average rent in Mount Pleasant, TX?
The median monthly rent in Mount Pleasant is $1,510, or $18,120 per year. This is 1% 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 Mount Pleasant a good rental market for landlords?
With a rent-to-price ratio of 0.70%, Mount Pleasant 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 Mount Pleasant rent compare to Texas averages?
Mount Pleasant's median rent of $1,510/mo is 7% above the Texas average of $1,415/mo. Home prices at $215K are below the state average of $264K, giving Mount Pleasant a rent-to-price ratio of 0.70% 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). Mount Pleasant's ratio is 0.70%. 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 Mount Pleasant Guides

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

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