Texas renters spend a third of income on housing

The U.S. Census Bureau released data Thursday showing that Texas households earned a median of $82,625 in 2025. This figure represents a slight increase from the previous year, but it remains below the national median of $84,780. Hispanic households recorded the largest income gains during this period.

Income growth across the state was uneven. Households in the Houston and San Antonio regions saw their earnings rise, while those in the Dallas-Fort Worth and McAllen areas experienced declines. Since 2021, statewide incomes have generally trended upward, yet the state still lags behind the national average.

Housing expenses continue to squeeze budgets for a large portion of the population. More than half of the state’s 4.3 million renters are cost-burdened, a term defined by the Census Bureau as spending at least 30% of income on shelter. For every $10 earned, three dollars go toward rent, leaving less money for groceries, medical bills, transportation, and savings. Despite this pressure, monthly rents for Texas tenants remained largely flat.

Homeowners faced different financial realities. The share of mortgaged homeowners who are cost-burdened rose slightly to 32% in 2025. However, the median property tax bill for homeowners who have paid off their loans decreased by 4.2% from 2024 to 2025. For those with active mortgages, property tax bills stayed essentially flat, a trend aligned with state legislative efforts to rein in tax rates since the start of the decade.

Income gaps between racial groups persisted. Hispanic households typically earned $70,348, and Black households earned $64,664, both figures well below the $92,470 median for white households. The income disparity between white and Hispanic families in Texas is wider than the national average. Asian households reported the highest median income at $122,370, a drop of 2.3% from the previous year.

The census data also indicated that fewer Texans and children lived in poverty, though the rates for older adults and families increased slightly. Texas maintained its status as the state with the highest uninsured rate, a ranking it has held for more than a decade. New survey questions revealed that households in Travis County were twice as likely to own an electric vehicle as the state average, while more than 80,000 rural households reported having solar panels.

The state’s overall solar adoption rate trailed the national figure of 5.2%. The Census Bureau noted that urban households installed solar panels at higher rates than rural ones, but the data confirmed that energy transition technologies are spreading across diverse communities in Texas.