Contemporary Income
For Sale
$1,150,000
2904 Ruth Street, Houston, TX 77004
Well-suited for high-capacity rentals with open-concept layouts and multiple bedrooms and bathrooms per unit.
Property Size5,544 SF
Price / SF$207.43
Days on Market57
Property Features for 2904 Ruth Street
General Information
Standard status
Active
Size
5,544 SF
Property subtype
Multi-Family
Additional Details
Business Included
Yes
Taxes and HOA fees
Annual Taxes
$3,999
Amenities
Vinyl
Yes
CommonArea,WasherHookup,DryerHookup
Builder
Balcony
Cleared
5250
More than Two
Appraiser
Paved
PrivateEntrance
5544
Building Details
Building Size
5,544 SF
Year Built
2026
Stories
2
Listing Agency:
eXp Realty, LLC
(713) 582-2202
Listed By:
Lynette Lew · License #640952
(713) 582-2202
Source:
Garygreene
Added: Jun 30
Changed: Aug 24
Last Checked: Aug 24 at 3:28AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of eXp Realty, LLC
Investment Insights
Based on property information with market context.
This contemporary income property is designed for flexible, high-occupancy leasing. Each unit features an open-concept layout with 6 bedrooms and 5 full bathrooms, creating a practical configuration for groups that need multiple private sleeping areas. The property is presented with high-end finishes and a functional floor plan intended to support consistent rental use.
Located just a few doors from Texas Southern University, the property is also described as within minutes of Downtown Houston and the Texas Medical Center. The provided walk score is 73 (Very Walkable), the bike score is 80 (Very Bikeable), and the transit score is 55 (Good Transit), supporting an active, transit-influenced tenant environment.
For buyers or operators, the unit mix and layout emphasize capacity and livability, which can be a strong fit for student housing, professional rentals, or vacation hosting. The property’s contemporary character and bedroom-to-bathroom ratio are aimed at accommodating larger groups without sacrificing an open communal feel in each unit.
Located just a few doors from Texas Southern University, the property is also described as within minutes of Downtown Houston and the Texas Medical Center. The provided walk score is 73 (Very Walkable), the bike score is 80 (Very Bikeable), and the transit score is 55 (Good Transit), supporting an active, transit-influenced tenant environment.
For buyers or operators, the unit mix and layout emphasize capacity and livability, which can be a strong fit for student housing, professional rentals, or vacation hosting. The property’s contemporary character and bedroom-to-bathroom ratio are aimed at accommodating larger groups without sacrificing an open communal feel in each unit.
Key Highlights
- Year built 2026 contemporary property with open‑concept design and high‑end finishes
- Each unit layout features 6 bedrooms and 5 full bathrooms for high‑capacity rentals
- Positioned near Texas Southern University, just a few doors away
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$62,809
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
5.46%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$1,256,180
$1.3M
Cap Rate 7%
$897,271
$897.3K
Cap Rate 9%
$697,878
$697.9K
Market Conditions
NOI Build-Up for 5,544 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$121.7K $21.96/SF
− Vacancy
−$7.5K −$1.36/SF
EGI
$114.2K $20.60/SF
− OpEx
−$51.4K −$9.27/SF
NOI
$62.8K $11.33/SF
Area
Houston, TX
Vacancy
6.20%
Lease Rate
$21.96 /SF/Yr
Expense Ratio
45.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$1,256,180
Cap Rate 7%
$897,271
Cap Rate 9%
$697,878
Alternative Uses
Best Use
Apartment 5plus
$897.3K
$785.1K – $1.05M
NOI $62,809 @ 7.0% cap · market cap 5.46%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.43M
$1.25M – $1.66M
NOI $99,792 @ 7.0% cap · market cap 8.68%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
1,457
Businesses Nearby
Explore this area
Business Placement
Demographics for 77004, TX
37,005
Population
18,321
Households
2
Avg Household Size
31
Median Age
57%
College-Educated
96%
High-School Grad
5.2 sq mi
ZIP Area
7,116
Density / Sq Mi
$65,901
Median Household Income
$55,909
Median Earnings
$1,320
Median Rent
$384,100
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Short term rental property - Well-suited for high-capacity rentals with open-concept layouts and multiple bedrooms and bathrooms per unit.
Where is this short term rental property located?
The property is located at 2904 Ruth Street Houston, TX.
What is the asking price?
The asking price for this property is $1,150,000.
What are key features of this property?
This property features: Year built 2026 contemporary property with open‑concept design and high‑end finishes; Each unit layout features 6 bedrooms and 5 full bathrooms for high‑capacity rentals; Positioned near Texas Southern University, just a few doors away
