Updated 2026 · Based on median market data for Wichita Falls, TX
The median monthly rent in Wichita Falls, TX is $1,260, translating to $15,120 in annual gross rental income per unit. The rent-to-price ratio is 0.74% — below the 1% rule but within a range where deals can work with good financing and disciplined expense management. For context, a 0.74% rent-to-price ratio means that for every $100,000 invested in property, you collect approximately $741/mo in gross rent. The gross rent multiplier of 11.2x means it takes 11.2 years of gross rent to equal the purchase price — an excellent ratio that signals strong income relative to cost.
Renters in Wichita Falls spend approximately 24% of the local median household income ($63,735) on rent. This is well below the 30% threshold, suggesting significant headroom for rent increases. The 30% affordability ceiling puts maximum supportable rent at approximately $1,593/mo — a full $333/mo above the current median of $1,260. This gap represents real upside for landlords who invest in property upgrades that justify premium rents.
The vacancy rate in Wichita Falls 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.
Wichita Falls's GRM (price divided by annual rent) is 11.2x. 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 Wichita Falls's median GRM, target properties where you can achieve rents above $1,260 through renovations, better marketing, or targeting underserved tenant segments — or buy at a discount to the $170,000 median price. Every point lower on GRM translates to roughly 0.5-0.8% improvement in your cap rate.
At the median rent of $1,260/mo, a single-family rental in Wichita Falls generates approximately $15,120 in gross annual income. After accounting for 5.8% vacancy ($877 lost), property taxes of $2,924, insurance (~$680), and maintenance (~$680), the estimated NOI is $9,959 per year, or $830/mo. Adding an 8% management fee ($1,210/yr) reduces investor cash flow further. Before debt service, you are looking at approximately $8,749/yr in landlord net income. Whether this is attractive depends on your total capital invested — at a $34,000 down payment, the unlevered yield on equity from NOI alone is 29.3%.
Rent growth in Wichita Falls 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 $1,260/mo to $1,417 in 3 years and $1,533 in 5 years. The affordability headroom of $333/mo between current rents and the 30% income threshold provides substantial room for rent increases without pushing tenants into financial stress.
With a median income of $63,735 and affordable home prices ($170,000), many tenants in Wichita Falls 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.
Wichita Falls 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 $1,260/mo, management costs roughly $139/mo. Self-management makes sense if you are local, have fewer than 5 units, and the rent level justifies your time — at $1,260/mo, self-management of a small portfolio saves meaningful dollars but professional management becomes economical at 3-4 units.
Wichita Falls vs Texas state average and national average across key investment metrics. Wichita Falls outperforms both benchmarks on cap rate.