Location: Coal County, OK | Metro: Coal County, OK
| Unit Size | Monthly FMR |
|---|---|
| Studio | $700 |
| 1 Bedroom | $700 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,460 |
| 5 Bedrooms | $1,694 |
| 6 Bedrooms | $1,897 |
| 7 Bedrooms | $2,049 |
| 8 Bedrooms | $2,151 |
U.S. Census Bureau data (2024)
The Section 8 cap-rate analysis for ZIP code 74535 presents a unique challenge due to limited data availability. For a two-bedroom unit, the Fair Market Rent (FMR) for fiscal year 2026 is set at $940 per month, based on metro area standards. However, the median home value and market rent figures are not available, complicating a full analysis.
To derive the rough cap-rate picture, we must consider the annualized rental income from the FMR. At $940 per month, the annual rental income would be $11,280. Without a median home value, it's impossible to calculate an exact cap rate, but we can infer that the implied gross yield would be relatively low if we assume a typical home value in the area. For instance, if the median home value were hypothetically around $200,000, the gross yield would be approximately 5.64%. This is calculated by dividing the annual rental income ($11,280) by the property value ($200,000).
In contrast, when market rent data is unavailable, we cannot accurately compare the gross yield against prevailing market conditions. This scenario suggests that there might be significant uncertainty regarding the actual profitability of properties in ZIP 74535 under Section 8. The lack of market rent data implies that landlords may face challenges in assessing whether the FMR aligns with local market rates, potentially leading to suboptimal investment decisions.
The renter density of 0.0% indicates that very few residents in ZIP 74535 participate in the Section 8 program, which could mean that demand for such units is low. Additionally, the Days on Market (DOM) figure being N/A suggests that there isn't enough data to determine how quickly properties rented through Section 8 are typically occupied. This further complicates the ability to predict cash flow and occupancy rates.
Given these factors, the gross-yield derived from the FMR is more concrete than any hypothetical market rent scenario. However, it is important to note that without market rent data, the actual performance of properties in this ZIP code under Section 8 remains speculative. Investors should conduct thorough research and consult local real estate experts before making any investment decisions in ZIP 74535.
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.