This week we are once again comparing American cities! In the past, many Chinese friends would consider settling in California or New York first, but in recent years, Texas has become a popular third choice because of its lower housing prices, no state income tax, and stable economic growth and population growth dividends. Among them, Houston, Dallas, and Austin are three of the most popular locations, so this time we will explore these three cities together to help you make a wiser choice.
Before we begin, I want to bring you some breaking news because a new development related to Texas arrived before the deadline for this article.
The Texas House of Representatives on May 8th
preliminarily passed
Senate Bill 17
, which prohibits citizens of China, Iran, North Korea, and Russia from purchasing real estate ownership in Texas. Of course, this bill is not yet law and still needs to go back to the Senate for review. If it passes, it can then be sent to the governor for signing, and if all goes smoothly, the bill will come into effect on September 1, 2025, and will only apply to real estate purchases or acquisitions after the effective date.
However, I have also seen reports stating that the Texas Attorney General’s Office has the authority to investigate and release reports on properties owned by adversarial countries in the state, and prosecutors can, under court orders, take civil actions to seize these properties. In other words, there are still risks if you want to make a purchase before the effective date of the bill. Due to time constraints, I will stop here regarding this topic, but we might revisit it next week for a more detailed analysis.
After the pandemic in recent years, Texas has experienced significant population growth. According to the U.S. Census Bureau’s estimate, the population of Texas reached 31.29 million in July 2024, an increase of about 560,000 from 2023, with an annual growth rate of about 1.8%, ranking third in the United States. From 2020 to 2023, the population also grew by 4.7%.
According to Realtor.com’s prediction, if Texas continues at its current population growth rate, the state may surpass California by 2045 to become the state with the highest population in the United States. According to the Texas Demographic Center’s forecast, if current trends continue, the population of Texas could reach 36 to 44 million by 2036. In 2024, California’s population was about 39.43 million, although it has seen consecutive growth for the second year, overcoming the population decline during the pandemic, but the annual growth rate is still less than Texas.
In recent years, a significant portion of the population attracted to Texas has come from California, as well as some international immigrants. The reasons are because the cost of living in Texas is lower than in California, especially with housing prices lower than in many major U.S. cities, yet offering significant advantages in living space and quality. Secondly, Texas has no state income tax, which is attractive to many high-income earners.
Thirdly, Texas takes a lenient stance towards businesses compared to California, which has many regulations restricting businesses. Consequently, companies such as Tesla, Oracle, HP, have relocated their headquarters to Texas, which has brought along with it a related industry chain, jobs, and population to the state. Moreover, Texas has a diverse economic structure, including energy, healthcare, technology, aerospace, finance, and logistics industries that are well-developed, attracting many talents.
In fact, the three metropolitan areas with the highest population in Texas, which are the main contenders today, are Houston, Dallas, and Austin. As for cities, Houston is the largest city in Texas, but in terms of metropolitan areas, the Dallas metropolitan area has the highest population.
The Dallas-Fort Worth metropolitan area, often referred to as the Dallas-Fort Worth metroplex: had a population of about 8.1 million in 2023, making it the metropolitan area with the largest population in Texas. The second is the Houston metropolitan area, with a population of about 7.51 million. The third is the Austin metropolitan area, with a population of about 2.47 million people, which has rapidly attracted new residents due to the rapid development of the technology industry in recent years.
Although there is a significant difference in the number of people in Austin, in recent years, many high-tech residents have been attracted here, gradually forming a complete technology cluster. However, due to overexpansion, the city is currently facing a phase of price adjustment and population decline.
Let’s start by comparing the real estate situation in these three metropolitan areas. In terms of housing prices: Austin has the highest median home price at around $520,000, but prices are currently undergoing an adjustment period due to the surge during the pandemic. The median home price in the Dallas metropolitan area is around $450,000, and the market is still heating up, so prices are still rising. Houston metropolitan area has the lowest among the three, with a median price of only $335,000, even below the national average, but because of the lower prices, the market remains stable and is still modestly rising.
The rental market of these three metropolitan areas also reflects the same pattern as housing prices. The average rent in Austin is the highest at $1,725, followed by Dallas at $1,475, and Houston at $1,395. Rents in all three areas are either rising or stable. In terms of rental yield, Houston has the highest at 5% due to its lower housing prices, while Dallas and Austin are both below 4% due to their higher property prices.
Next, let’s look at the employment structure in these three metropolitan areas. Houston, as the energy capital, is actively expanding into other economic sectors, particularly investing in healthcare and technology. Therefore, for professionals seeking stable job opportunities and a variety of industry choices, Houston provides rich opportunities.
Houston is expected to add 12,800 jobs related to medical and health services in 2025, becoming one of the fastest-growing sectors; the construction industry is expected to add 10,200 positions, reflecting active infrastructure and residential construction; professional and technical services are expected to increase by 6,900 positions, also indicating a demand for high-skilled professionals.
Dallas-Fort Worth: The region’s financial and technology industries have rapidly developed, attracting numerous corporate headquarters and high-skilled talent. For those looking to develop a career in finance or technology, Dallas-Fort Worth is an ideal choice. Financial institutions such as Goldman Sachs expanding their business in Dallas attract a large number of financial professionals. The Dallas area has also become a data center and a hotspot for high-tech manufacturing, attracting international investment.
Austin, renowned for its technology, is dubbed the “Silicon Hills,” and like Silicon Valley, it is known for its innovation and entrepreneurship culture, especially in the fields of technology and renewable energy. For entrepreneurs and technology professionals, Austin offers a vibrant ecosystem and support. In terms of professional and business services, Austin added 2,700 positions at the beginning of 2025; the government sector also added 2,700 positions, reflecting stable growth in the public sector. Although the manufacturing industry has declined somewhat, it remains an important employment sector.
Therefore, all three metropolitan areas have a good employment environment, with unemployment rates below the national average. However, it is not all positives, as they also face some challenges. In Houston, the oil industry is affected by oil price fluctuations, energy transition, automation technology, cost pressures, and other multiple factors, resulting in layoffs, with the long-term outlook still facing transformation opportunities but a decline in demand for traditional oil manpower.
In Dallas, the technology and finance industries offer many opportunities, but require high skills and expertise, making it difficult for businesses to find suitable talent. Austin also faces the impact of AI, with about 13% of jobs potentially being displaced by AI technology, especially in high-repetition positions. Although there are many opportunities in the technology industry, job seekers need to possess the corresponding skills and adaptability.
Moving on, let’s compare the Chinese living circles in these three metropolitan areas. Overall, the Chinese community in Houston is the most mature with the most convenient living conditions, diverse school district choices, albeit with some areas having security issues. In the Dallas area, the Chinese community is developing rapidly, with excellent school districts and relatively stable security, making it suitable for family settlements. Although Austin has the lowest proportion of Chinese residents, community resources are gradually improving, school district performance varies, making it suitable for families pursuing opportunities in the technology industry.
The Chinese community in Houston is mainly concentrated in the southwest area’s Chinatown and surrounding areas, such as zip codes 77036 and 77072. Due to the concentration of Chinese residents, there is a Chinese community center providing language courses, health seminars, cultural activities, and other Chinese services. The living facilities include Chinese supermarkets, restaurants, clinics, churches, making it the most convenient Chinese living circle in Texas.
The main school districts in Houston are the Houston Independent School District (Houston ISD), which is also the largest school district in Texas. It has a moderate overall performance with A and F grade schools, but has magnet schools tailored for specific programs and themes, so parents need to carefully select schools. Additionally, the Alief Independent School District (Alief ISD) is located directly in Chinatown and also has a moderate rating with magnet schools to choose from, showing decent school performance.
Furthermore, the Katy Independent School District (Katy ISD) is the top school district in Houston and a popular choice for many parents, but it should be noted that the housing prices are relatively high. Another one is the Fort Bend Independent School District (Fort Bend ISD), including the Sugar Land area, which is a popular choice for Asian and Chinese families, with good overall school performance, maintaining stable school ratings.
In the Dallas-Fort Worth area, the Chinese community is concentrated in cities with a higher proportion of Chinese residents such as Plano and Richardson, especially with Plano having a Chinese population ratio of 5.2%. There is a Dallas Chinese activity center that holds calligraphy competitions, health days, and other activities to promote community engagement. Facilities such as Chinese restaurants, supermarkets, cram schools are increasing, including places like 99 Ranch Market, Hong Kong Supermarket, Dallas Chinese Business District, Good Luck Supermarket, and zTAO Marketplace specializing in Chinese baked goods, cooked food, and Asian snacks.
Regarding school districts in Dallas, the top choices for Chinese families include Plano Independent School District, Frisco Independent School District, Coppell Independent School District, Richardson Independent School District, Carroll Independent School District, among others, with Plano and Richardson having a higher population of Chinese students. These schools each have their own unique features, mainly located in the north or northwest areas of Dallas.
Lastly is the Austin metropolitan area, where the Chinese community is predominantly concentrated in the 78753 zip code in the north, with a Chinese population ratio of 0.04%. There is an Asian American Resource Center and the Austin Chinese-American Network gradually strengthening the voice of the Chinese population.
Although the Chinese living circle in Austin is not as convenient as Houston or Dallas, there are also large Chinese supermarkets such as 99 Ranch Market, M.C. Supermarket, H Mart, Han Yang Supermarket specializing in Korean food, as well as Asahi Imports, a Japanese food market. The central location of M.C. Supermarket is considered the center of Chinatown in the area.
The top school districts in Austin with the highest number of Chinese students are Round Rock Independent School District, Austin Independent School District, and Leander Independent School District. These districts each have high schools attracting a large number of Asian students: Westwood High School, Liberal Arts and Science Academy, and Vandegrift High School, with Westwood having nearly 40% Asian students, indicating that the schools are likely to have excellent performances.
To conclude, for those looking to invest in real estate in these three metropolitan areas, buyers should be cautious of the following real estate issues: firstly, flood-prone areas, especially Houston, where flooding is a perennial issue, so it is essential to avoid flood zones; secondly, school district differentiation, with varying school performance, parents must be careful; third, many homes in Texas were built in the 1980s to 1990s, with aging infrastructure, so be wary of hidden maintenance costs. Lastly, while Texas has no state income tax, property taxes are as high as 2.0-3.5%, which can be a significant annual expense, and some communities, especially new ones, have high management fees (HOA) and more restrictions.
In summary, for recommended Chinese residential communities, in the Houston metropolitan area, we suggest the west side such as Katy, Sugar Land, and the northwest area like Cypress, which are popular among family groups due to their good school districts and convenient living facilities.
For the Dallas metropolitan area, we recommend Plano, Frisco, Allen, Coppell, and other areas with strong school districts and mature communities, suitable for residence and long-term investment.
Regarding the Austin area, Northwest Austin, Round Rock, Cedar Park, and Leander are currently relatively high-value choices with stable school districts.