Location: Washita County, OK | Metro: Washita County, OK
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $700 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,220 |
| 4 Bedrooms | $1,370 |
| 5 Bedrooms | $1,589 |
| 6 Bedrooms | $1,780 |
| 7 Bedrooms | $1,922 |
| 8 Bedrooms | $2,018 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $920 | $52,156 | 1.76% | A+ |
| 3BR | $1,220 | $130,324 | 0.94% | C |
| 4BR | $1,370 | $185,824 | 0.74% | D |
U.S. Census Bureau data (2024)
The analysis for the Section 8 program in ZIP code 73632 reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2026, the FMR stands at $960, while the Census ACS reports the market rent at $741. This creates a gap of $219, or approximately 28.7%.
Given that the FMR exceeds the market rent, landlords and small-portfolio investors should consider this a yield play. The higher FMR means that voucher holders can potentially pay more than what the average market rent is, thus increasing the rental income above the typical rate. This scenario benefits property owners who might otherwise struggle to cover costs at the lower market rate.
However, it's important to anchor this analysis in the broader context of ZIP 73632. Here, only 22.4% of residents are renters, indicating a predominantly owner-occupied market. The median home value in the area is $100,762, suggesting a middle-income neighborhood where homeownership is attainable. Additionally, the median income is $72,571, which is relatively stable but also indicates that many residents may rely on affordable housing options such as Section 8 vouchers.
Despite the potential for increased yields, landlords must also consider the cost implications of housing voucher tenants. These costs include administrative burdens, compliance requirements, and the possibility of lower vacancy rates due to the limited number of voucher holders in the area. Nevertheless, the financial advantage of receiving rents closer to the FMR can offset these challenges, making it a worthwhile investment strategy for those willing to navigate the complexities of the Section 8 program.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.