When you think of Texas, the first things that come to mind are probably cowboys and rodeos. But the Lone Star State is more than just a mecca for Southwestern culture – it’s also home to some of the largest employers and business communities in the world. From aeronautics to energy to tourism to health care and more, Texas is considered to have one of the most rapidly growing economies in the United States.
Home to six of the top 50 companies on the Fortune 500 list, and offering a lower than average cost of living, it’s no wonder Texas is such a popular place for recent college grads seeking to embark on their careers. As proof of the state’s mass appeal to this particular demographic, three Texas cities were featured on a recent Apartments.com survey, the results of which were published in a list titled, “Top 10 Best Cities for Recent College Graduates.”
Apartments.com compiled the list based on a variety of factors including average rent, unemployment rates and the percentage of the population between 25 and 29. Austin, Fort Worth and Dallas were the three TX cities that made the cut. Texas was the only state with three cities featured on the list.
Austin earned the No. 4 rank, thanks to its incredibly low unemployment rate of just 3.3 percent. Austin’s vibrant community and reputation as the “Live Music Capital of the World” likely helps attract young adults, which may have also contributed to its high ranking on the survey.
While Austin is certainly a great spot to work and play, living within the city limits can be a little pricey. According to Zillow, the median rent list price is $1,730, which is 8.3 percent higher than it was a year ago. However, it may be cheaper to own than rent in Austin, as the median list price for homes for sale is $332,000. Assuming you made a 20 percent down payment and had a 4.5 percent interest rate for a 30 year fixed rate mortgage, the monthly payment for a home that price would be $1,345.76 – nearly $400 less than the median rent.
Fort Worth was the second TX city to make an appearance on the list. Coming in at No. 7, Fort Worth’s unemployment rate of only 4.6 percent and a very affordable average rent ($864/month according to Apartments.com), Fort Worth also boasts a large presence of multinational corporations specializing in industries like technology, defense and health care.
According to Zillow, the median list price for homes for sale in Fort Worth is $167,900. With a 20 percent down payment on a 30 year mortgage with a fixed rate of 4.5 percent, the monthly mortgage payment for a home that price would be $680.58 – a difference of $183.42. So, like Austin, Fort Worth is another Texas town in which it could be cheaper to buy than rent.
Coming in at the No. 10 spot, the city of Dallas had a bit of a higher unemployment rate (last recorded at 6.5 percent), which may be why it did not rank higher. However, a booming economy rich with opportunity makes “Big D” a great place for recent college grads. Major players in this market include energy, telecommunications and transportation industries.
According to Zillow, the median list price for a home in Dallas is $245,000. With a 30 year home loan at a fixed rate of 4.5 percent, the monthly mortgage payment for a home that price would be $993.10 – assuming you made a 20 percent down payment. That’s $184.90 less than the median rent of $1,287 reported by Zillow.
Texas has so much to offer in the way of business, culture, and life overall. If you’re considering relocating to one of the opportunity-rich cities listed above, and are in need of home financing assistance, please reach out to the Texas mortgage experts at The Decker Group. We can help you secure a low mortgage rate on a home loan program that suits your needs. Why continue paying high rent when you could own your own home and pay less every month? Call 972-591-3097 for more information and to get your FREE RATE QUOTE.
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