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City Report · TX

Palestine

Pop. 19,136·222nd most expensive in Texas·One of the most affordable rental markets in the US
Median rent (all units)
$1,357/mo
Year-over-Year
Stable
Month-over-Month
-12.2%
vs US Median
-$605
Falling (Monthly)
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Most AffordableMost Expensive
Palestine · $1,357
More affordable than 85% of US cities · National median $1,962/mo
Affordability
36% of income
MODERATE
0%30% benchmark60%+

At $1,357/mo, rent takes about 36% of the local median household income, slightly above the 30% benchmark.

Income to afford
$54,000/yr
Local median income
$44,981/yr
Based on the 30%-of-income rule using Palestine's median rent and household income. See the full affordability breakdown →
Medians by bedroom

Rent by unit size

Studio
$646
1 BR
$876
2 BR
$965
3 BR
$1,427
4 BR+
$1,399
Fair Market Rent (HUD)
$965/mo

These are HUD Fair Market Rents, the payment standard for a Housing Choice Voucher (Section 8). They often differ from the $1,357 market median above, and that is expected: FMR is the 40th percentile of standard-quality units and counts gross rent, so it includes essential utilities such as electricity, water, gas, sewer, and trash. The market median is asking rent, which usually excludes utilities. HUD sets FMR once a year; market rent here updates monthly.

Source: HUD Small Area Fair Market Rents. Read the methodology →

Rent trends

12-month history

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Last updated: August 17, 2026

Annual cost
$16,284/yr
At $1,357/mo median
Rent Market Meter
Strong Renter's Market
Renter's MarketBalancedLandlord's Market
Rents are down 0.0% year-over-year. Push hard on price, concessions, and lease terms.
Based on rent-price momentum (+0.0% YoY, -12.2% MoM), not inventory.
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Demographics

Who lives here

Palestine, TX is roughly split between renters and owners, has a median income below the national average, 16.6% of residents hold a bachelor's degree or higher.

Population
19,136
Median income
$44,981
Median age
35.7
Renters
45.2%
Age distribution
24.7%
24%
28.6%
15.2%
Under 1824.7%
18–3424%
35–5428.6%
55–647.5%
65+15.2%
Gender
51.2%
48.8%
Male51.2%
Female48.8%
Race & ethnicity
50.7%
28.5%
24%
White50.7%
Black28.5%
Hispanic24%
Education (25+)
12.1%
42.4%
28.9%
16.6%
No HS diploma12.1%
HS diploma42.4%
Some college28.9%
Bachelor's+16.6%
Housing tenure
54.8%
45.2%
Owner54.8%
Renter45.2%

Source: U.S. Census Bureau · ACS 2024 5-Year Estimates

2021 vs 2026

How Palestine, TX has changed in 5 years

Income
$41,730 → $44,981
up 7.8%
Population
18,532 → 19,136
up 3.3%
Renter share
46.1% → 45.2%
-0.9 pts
Bachelor's+
14.4% → 16.6%
+2.2 pts
Median age
35 → 35.7
+0.7 yrs

Household income in the area moved from $41,730 to $44,981 across the same window, up 7.8% versus 2021. The population has grown by 3.3% since 2021, moving from about 18,532 residents to roughly 19,136. College-educated residents now make up 16.6% of adults here, versus 14.4% in 2021.

Community

Discussions about Palestine

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View Palestine rent history (2015–2026) →
Salary vs rent

Can you afford rent in Palestine on your salary?

At $1,357/mo, how Palestine rent compares to typical pay (30% rule).

By apartment size

Palestine rent by bedroom count

Median rent for each apartment size in Palestine. Click any size for full breakdown.

Local insights

Tips for renters in Palestine

About renting in Palestine, TX

Last updated: August 17, 2026

The median rent in Palestine is $1,357/mo as of August 2026. A studio apartment averages $646/mo while a 2-bedroom runs $965/mo. One-bedroom apartments average $876/mo and 3-bedroom units go for $1,427/mo.

At 36% of local median household income ($44,981/yr), Palestine ranks as moderate compared to the national benchmark of 30%. Rent prices have stayed steady over the past year.

FAQ

Frequently asked questions

Is Palestine an affordable city for renters?

Palestine is considered moderate for renters. At $1,357/mo, rent takes approximately 36% of the local median household income ($44,981/yr). The standard benchmark is 30%. Palestine slightly exceeds that threshold, so budgeting carefully matters here.

How much income do you need to rent in Palestine?

To keep rent at or below 30% of gross income, you would need to earn at least $54,000/year (~$26/hour full-time) to afford the median rent of $1,357/mo in Palestine. The local median household income is $44,981/yr, meaning the typical Palestine household falls short of that threshold.

Is rent going up or down in Palestine?

Rent in Palestine has been relatively stable over the past year, with a 0.0% change year over year as of August 2026.

How does Palestine rent compare to other cities in Texas?

Palestine is one of the more affordable cities in Texas for rent, ranking #222 out of 267 tracked cities at $1,357/mo.

Which nearby cities are cheaper to rent in than Palestine?

Athens is nearby and more affordable at $1,221/mo, which is $136 less than Palestine.

What percentage of Palestine residents rent vs. own?

According to Census data, approximately 45.2% of Palestine households are renters, while 54.8% are owner-occupied. Palestine leans toward homeownership, which can mean a smaller rental inventory.

How does Palestine rent compare to the national average?

Palestine's median rent of $1,357/mo is $605 (31%) below the US national median of $1,962/mo. Within Texas, it ranks #222 out of 267 tracked cities.
Income Affordability
36%
MODERATE

At $1,357/mo, rent takes ~36% of Palestine's median household income ($44,981/yr). The standard benchmark is 30%.

Palestine 36%Benchmark 30%
State income taxNone
Run the Palestine affordability calculator →
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Neighborhoods

Estimated from ZIP-level data

Schools nearby

Public schools near Palestine, TX

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