Texas was supposed to be the safest bet in American real estate. Population growth was exploding, businesses were relocating, and investors poured billions into apartment communities across cities like Houston, Dallas, Austin, and San Antonio.
But in 2026, the Texas apartment story has taken a dramatic turn.
A market once viewed as a growth machine is now facing a financial squeeze driven by higher interest rates, rising insurance bills, expensive property taxes, slower rent growth, and a flood of new apartments competing for tenants…