Section 8 Fair Market Rent (FMR) for ZIP 74452 - 2027

FY 2027 Fair Market Rent Rates

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

A landlord considering ZIP code 74452 for Section 8 investments should follow this decision tree:

1) Does FMR ($980) clear debt service on a $192,662 property?

• No: The Fair Market Rent (FMR) of $980 does not cover the debt service for a property valued at $192,662. This makes the investment unviable unless there are significant subsidies or additional income sources.
• It Depends: If the property's debt service is less than $980 per month, then the answer is yes. However, this scenario is unlikely given typical mortgage rates and property tax burdens.

2) Is market rent ($367) above, at, or below FMR?

• Below: The average market rent of $367 is significantly lower than the FMR of $980. This indicates that properties in this ZIP code are undervalued relative to what Section 8 tenants can pay, potentially offering an opportunity for profit if the landlord can secure Section 8 contracts.

3) Are 20.8% renters + N/A-day days on market enough demand?

• Yes: With 20.8% of the population being renters, there is a reasonable level of demand. However, the lack of data on days on market (DOM) means we cannot accurately assess how quickly rental properties are occupied. Despite this gap, the percentage of renters suggests a stable tenant pool.
• It Depends: The viability of renting to Section 8 tenants in this ZIP code hinges on the ability to find and maintain Section 8 contracts. Given the lower market rent compared to FMR, landlords can potentially offer competitive pricing and still receive higher rents through Section 8 vouchers.

In conclusion, for a landlord asking whether they should invest in ZIP 74452 for Section 8 purposes, the decision primarily rests on their ability to manage properties at a cost lower than $980 per unit and their willingness to navigate the complexities of securing and maintaining Section 8 contracts despite the undetermined speed of occupancy.

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.