Texas Boom: How 1,100 New Residents Arriving Daily Impact Commercial Real Estate Investing

The state of Texas has been experiencing a major boom in population growth over the past few years.

According to recent data from the U.S. Census Bureau, an average of 1,100 new residents are arriving in Texas every day.

This rapid influx of people into the state has had a significant impact on various industries, including commercial real estate. In this article, we will explore the effects of this population boom on commercial real estate investing in Texas and provide statistics and sources to support our discussion.

Increase in Demand for Commercial Real Estate

With the steady increase in population, there has been a significant rise in demand for commercial real estate properties in Texas. This trend is expected to continue as more people move into the state. This increase in demand has created a favorable market for commercial real estate investors, providing potential opportunities for growth and profit.

Rise in Property Values

The influx of new residents into Texas has also caused a surge in property values across the state. According to Zillow’s Home Value Index, the median home value in Texas has increased by 5.8% over the past year, with further appreciation expected in the coming years.

This rise in property values translates to higher sale prices for commercial real estate properties as well, making it an attractive investment opportunity.

Additionally, the demand for rental properties has also increased, leading to higher rents and potential for greater returns on investment.

Impact on Job Market

The population growth in Texas has not only affected the real estate market but also had a significant impact on the job market. With more people moving into the state, there is a growing need for businesses to expand and create new job opportunities. In year-ending May 2023, Texas markets added some 474,000 additional jobs, according to data from the Bureau of Labor Statistics. This increase in employment opportunities has further fueled the demand for commercial real estate spaces as businesses look to establish or expand their operations.

Opportunities for Growth and Diversification

The Texas boom has not only brought in new residents, but it has also attracted major companies and corporations to the state. As a result, there is a diverse mix of industries and businesses now operating in Texas, creating a wide range of investment opportunities for commercial real estate investors. From tech startups to oil and gas companies, there is no shortage of potential tenants for commercial properties in Texas. This level of diversity and growth in various industries has made Texas a top destination for commercial real estate investing.

Conclusion

The population boom in Texas has had a significant impact on the state’s commercial real estate market, creating numerous opportunities for investors. With an increase in demand, rise in property values, and a growing job market, Texas offers a promising landscape for those looking to invest in commercial properties. As more people continue to move into the state, this trend is expected to continue, making now an opportune time to consider investing in the booming Texas market.

 So, if you are thinking about expanding your real estate portfolio or diversifying your investments, keep an eye on the Lone Star State – it may just be the next big thing in commercial real estate.

For the past 40+ years it has been our honor and pleasure to help clients achieve their investment goals through commercial real estate investing through…

  • Our Exclusive Nationwide Investment Network
  • Off-Market Commercial Real Estate Opportunities – Nationwide
  • and Saving Taxes with 1031 Exchanges

To Learn More, Give CBC Capital Advisors a Call at (806) 793-0888

In addition, you can learn all about our exclusive nationwide investing network and capabilities by watching Rick Canup’s short investment presentation below.