Section 8 Fair Market Rent (FMR) for ZIP 74632 - 2027

Investment Score for ZIP 74632

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

A landlord considering purchasing a property in ZIP code 74632 for Section 8 investment must carefully evaluate several factors to make an informed decision. Here's a structured approach to guide that process:

• Does FMR ($940) clear debt service on a $141,249 property?
  • If the landlord's debt service per unit is less than $940, then the answer is Yes. The Fair Market Rent (FMR) of $940 for the metro area in fiscal year 2026 is sufficient to cover the mortgage payments and other financial obligations associated with a property valued at $141,249.
  • If the debt service exceeds $940, the answer is No. This would mean that the FMR is insufficient to meet the financial requirements of owning such a property, leading to potential losses.
• Is market rent ($867) above, at, or below FMR?
  • If the market rent is above $940, the answer is Yes. This indicates that the landlord could potentially charge higher rents than the FMR, providing a buffer against any unforeseen costs or expenses.
  • If the market rent is exactly $940, the answer is It Depends. The landlord would need to ensure that operating costs and vacancy rates do not exceed the FMR, which could affect profitability.
  • If the market rent is below $940, the answer is No. This suggests that the landlord would be limited to charging only up to the FMR, which might not be enough to cover all costs and maintain profitability.
• Are 9.8% renters + N/A-day DOM enough demand?
  • If the percentage of renters is high enough and the days on market (DOM) is low, indicating quick turnover, the answer is Yes. A 9.8% rental rate, assuming it reflects a significant portion of the population, combined with a low DOM, signals strong demand for rental properties in this area.
  • If the rental rate is too low or the DOM is high, suggesting slow turnover and difficulty in finding tenants, the answer is No. This would indicate weak demand, making it risky to invest in Section 8 properties.
  • If the rental rate is moderate and the DOM data is incomplete or unreliable, the answer is It Depends. The landlord would need additional information about the local rental market trends and tenant availability to make a sound judgment.

In summary, for ZIP code 74632, a landlord must first ensure that the FMR of $940 can cover their debt service on a $141,249 property. Next, they should compare the FMR to the market rent of $867 to gauge whether there is room for profit. Lastly, the demand for rental properties, indicated by the 9.8% rental rate and the unknown DOM, will determine if there is enough tenant interest to justify the investment. Each step provides a clear path to deciding whether to purchase a Section 8 property in this area.

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.