Montgomery, TX Rental Market for Investors
An estimated 44% of Montgomery's active listings could cash-flow as a short-term rental — here's what the numbers say for investors, as of October 2026.
Homes in Montgomery that pencil right now
A sample of active Montgomery listings whose DSCR clears 1.25 using short-term rental income projections we accept as a direct lender. These are spread across the price range, not ranked, and current as of October 2026.
$177,000DSCR 1.513 bed · 1.5 bath · 1,400 sqft
- STR revenue
- $29,191/yr
- Est. interest-only payment
- $1,285/mo
On the market 96 days · Listed by eXp Realty, LLC
Scout this home & market: 3-bed house in Montgomery
$184,900DSCR 1.362 bed · 2 bath · 1,147 sqft
- STR revenue
- $25,049/yr
- Est. interest-only payment
- $1,225/mo
On the market 178 days · Listed by Keller Williams HoustonCentral
Scout this home & market: 2-bed condo in Montgomery
$199,900DSCR 1.293 bed · 1 bath · 1,722 sqft
- STR revenue
- $27,741/yr
- Est. interest-only payment
- $1,428/mo
On the market 222 days · Listed by Texas Signature Realty
Scout this home & market: 3-bed house in Montgomery
As of October 2026, we analyzed 1,420 active for-sale homes in Montgomery, Texas. The typical listing is priced at $435,000 and is projected to generate about $41,391 a year as a short-term rental.
After setting aside an estimated 20% for operating costs, an estimated 43.9% of those homes could still cover an investor mortgage payment on short-term-rental income — below the 53.1% median across the 200 major metros we track, ranking Montgomery #129 of 200 for cash-flow potential.
On market momentum: homes in Montgomery sit a median of 67 days on the market, and 22% of active listings came on in just the last 30 days — a steadily paced market, which shapes how much room there is to negotiate.
For a DSCR loan — which qualifies on the property's rental income rather than your personal income — Montgomery runs tighter once operating costs are accounted for: many listings need a below-median price, a stronger short-term-rental setup, or more money down before the income covers the payment. It's a market where running the numbers property-by-property matters.
What actually works in Montgomery
Montgomery works for investors, but the window is specific: 195 of the 750 Montgomery homes, condos and townhomes we can price confidently clear a DSCR of 1.25. Nine in ten of them are priced under $316,000.
| Price | 1 bed | 2 bed | 3 bed | 4 bed | 5 bed |
|---|---|---|---|---|---|
| $150k–$250k | 0%0.90 | 34%1.05 | 83%1.54 | 100%1.53 | — |
| $250k–$350k | — | 0%0.69 | 33%1.10 | 57%1.28 | — |
| $350k–$500k | — | — | 0%0.79 | 6%0.87 | 8%1.00 |
| $500k+ | — | — | 0%0.48 | 0%0.56 | 0%0.68 |
Darker means a larger share of that group cash-flows. “—” means fewer than 8 active listings — too few to draw a conclusion from.
Montgomery in full
| Active for-sale homes analyzed | 1,420 |
|---|---|
| Median list price | $435,000 |
| Median projected STR revenue (annual, gross) | $41,391 |
| Median average daily rate (ADR) | $253 |
| Median occupancy | 46% |
| Median beds | 4 |
| Median size | 2,474 sqft |
| Estimated cash-flow-positive share | 43.9% |
| Median days on market | 67 days |
| New listings (last 30 days) | 21.7% of active |
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Estimates for educational purposes. Final terms subject to credit, property & program approval.
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