renter livability report

San Antonio surprises on new list of best U.S. cities for renters

San Antonio isn't one of the 50 best cities for renters, but at least it isn't the worst.

A new national study comparing the best places to rent in America has determined San Antonio's rental market apparently leaves much to be desired.

WalletHub's new report, "Best & Worst Places to Rent in America," analyzed 182 U.S. rental markets based on 21 relevant metrics, including the difference between rental rates and mortgage payments, rental affordability, the local cost of living, job availability, and more.

Surprisingly, Amarillo was deemed the No. 1 best Texas city for renters, and it ranked 10th nationally. Hot Dallas suburb Plano came in second place statewide and ranks 12th for a second year in a row.

Renters looking for a place to live in Central Texas that balances affordability, convenience, and quality of life may want to look at living in Austin, which ranked third place statewide and 13th nationally.

The report said San Antonio has the 83rd best quality of life out of all 182 U.S. cities in the report, and the city ranked 70th nationally in the "renter market and affordability" category.

San Antonio residents know their city better than a study ever could, so they can decide if the city's renter market isn't up to par. A separate report found the city has one of the fastest-growing renter markets in the nation, and now that local rent prices are declining, things might be starting to look up for renters.

WalletHub analyst Chip Lupo said the best cities for renters offer much more than inexpensive housing, a good job market, and recreational activities. For example, rent prices in the top cities cost tenants as little as 15 percent of their income.

"You’ll also have access to robust laws that protect renters, such as limiting deposits to only a month or two of rent," Lupo added.

Though renting can be more cost-effective than owning a property, WalletHub said it's not always a better choice.

"The right road to take depends on a variety of factors, including an individual’s or family’s financial means and how well the local real-estate market is doing," the report said. "Like home prices, rental rates can vary significantly by region, state or city."

Other Texas cities that ranked among the top 100 best places to rent in America include:

No. 24 – El Paso
No. 34 – Grand Prairie
No. 37 – Laredo
No. 48 – Brownsville
No. 49 – Arlington
No. 50 – Fort Worth
No. 63 – Corpus Christi
No. 66 – Irving
No. 71 – Dallas
No. 79 – Garland
No. 81 – Lubbock

At the bottom end of the ranking, Houston ranked as one of the worst cities to rent in America and landed 144th nationally.

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housing news

Texas homebuyers now need more than 7 years to save for a down payment

Photo by Kindel Media/ Pexels

It would take over 7 years for Texans making the state's median household income of $84.084 to save enough money for a down payment on a house in 2026.

It's no secret that purchasing a home in 2026 has become an ever-shifting financial goalpost that requires a lot more money than it used to. And a new study has just revealed it takes 9 months longer for Texas residents to save for a down payment than it did a decade ago.

SmartAsset's new report, "Where the Down Payment Burden Has Grown Most," analyzed typical home values in each state in 2016 and 2026, and compared them with median household income to estimate how many years of savings would be required to afford a 20 percent down payment (based on the assumption that households set aside 10 percent of their annual income). The analysis also evaluated how long a minimum-wage earner in each state would need to save for a down payment in 2026.

For Texans making the state's median household income of $84,084 in 2026, it would take 7.2 years to save enough money for a down payment on a house with the state's typical home value of $302,187.

In 2016, it would have taken a little less than 6.5 years based on a median household income of $56,565 and typical home values at $181,155.

Texas ranks 41st nationally in SmartAsset's comparison of states with the highest increases in the amount of time needed to save for a down payment from 2016 to 2026. The report's findings proved how "saving for a down payment has become a moving target" for many Texas residents and Americans as a whole.

"As rising home prices outstrip wage growth, the amount of time buyers may need to set aside enough money has changed sharply in many parts of the country," the report said. "In some states, rising incomes have helped offset higher home values. In others, buyers may face a substantially longer path to ownership than they did just one decade ago."

Homebuying prospects for minimum wage earners
For a minimum wage earner residing in Texas, it would take 40.1 years to save enough money for a down payment at current home prices. Texas and 19 other states have a $7.25 hourly minimum wage, which amounts to just over $15,000 a year.

SmartAsset further confirmed that it's "essentially impossible" to save for a down payment on a minimum wage income alone regardless of which state you live in.

"Even in Missouri, the most favorable state, a minimum-wage earner would need 17 years to save enough for a home down payment," the report added. "In Utah, that timeline exceeds 70 years."

The top 10 states where the "down payment burden" has grown the most are:

No. 1 – Idaho
No. 2 – Rhode Island
No. 3 – New Hampshire
No. 4 – Maine
No. 5 – Utah
No. 6 – Montana
No. 7 – Washington
No. 8 – New Jersey
No. 9 – New York
No. 10 – Massachusetts

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