Location: Delaware County, OK | Metro: Adair County, OK
| Unit Size | Monthly FMR |
|---|---|
| Studio | $720 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,180 |
| 4 Bedrooms | $1,240 |
| 5 Bedrooms | $1,438 |
| 6 Bedrooms | $1,611 |
| 7 Bedrooms | $1,740 |
| 8 Bedrooms | $1,827 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 74338 in the Oklahoma City metro area reveals several key points regarding its suitability for real estate investment under Section 8.
The first question concerns whether the rent math works. The Fair Market Rent (FMR) for the metro area for fiscal year 2026 is set at $940. However, the current market rent as per the Census ACS is lower at $793. This indicates that landlords might struggle to achieve the FMR through market rates alone, suggesting that the rent math does not fully align with the current market conditions.
Regarding the affordability of acquisition, the median home value in ZIP 74338 stands at $243,802. There is no data available on the days-on-market (DOM) or the percentage of homes that have had their prices cut, which suggests a stable housing market. Given the median home value, it can be concluded that acquiring properties in this ZIP code is moderately affordable for small-portfolio investors, especially when considering potential rental income.
The third question pertains to tenant demand. With a total population of 5,069 and a renter share of 28.0%, there is a significant pool of potential tenants. This translates to approximately 1,419 renters in the area, providing a reasonable level of demand for rental properties.
In conclusion, while the rent math in ZIP 74338 does not perfectly align due to the discrepancy between the FMR and the actual market rent, the acquisition cost remains within a manageable range for most small-portfolio investors. Furthermore, the presence of over 1,400 renters ensures a steady demand for rental properties. Landlords should carefully consider these factors before investing, particularly focusing on strategies to bridge the gap between the FMR and the current market rent to ensure profitability.
Data Sources: FMR data from HUD (2027). 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.