Location: Tulsa, OK | Metro: Tulsa, OK HUD Metro FMR Area
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 | $710 |
| 1 Bedroom | $750 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,400 |
| 5 Bedrooms | $1,624 |
| 6 Bedrooms | $1,819 |
| 7 Bedrooms | $1,965 |
| 8 Bedrooms | $2,063 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $920 | $54,043 | 1.7% | A+ |
| 3BR | $1,200 | $91,861 | 1.31% | A |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 74637, which encompasses Fairfax, OK, in Osage County, operate under a specific set of financial guidelines. For a two-bedroom rental unit, the SAFMR (Small Area Fair Market Rent) is set at $890 per month for fiscal year 2024. This SAFMR is specifically designated for this ZIP code, meaning it is tailored to the local housing market conditions.
In comparison, the local market rent for a similar two-bedroom unit, according to Census ACS data, is $620 per month. This discrepancy highlights the government's effort to ensure that rental rates are affordable for low-income families while also reflecting the actual costs of renting in the area.
A Section 8 voucher pays a portion of the rent directly to the landlord on behalf of the tenant. The amount paid by the voucher is based on the SAFMR and the tenant's ability to pay, which is typically calculated as 30% of their adjusted monthly income. For example, if a tenant's adjusted monthly income is $1,000, they would be responsible for paying $300 towards the rent. The remaining balance would then be covered by the Section 8 program up to the SAFMR limit.
In addition to the base rent, the voucher also includes an allowance for utilities. The exact amount varies but can add up to $100 or more to the total reimbursement. Therefore, if we assume a utility allowance of $100, the total reimbursement for a two-bedroom unit could be as high as $990 per month.
To illustrate, let's consider a scenario where the landlord charges the full SAFMR of $890 for a two-bedroom unit. If the tenant contributes $300 towards the rent, the voucher will cover the difference, which is $590. With the additional utility allowance of $100, the landlord receives a total of $690 from the voucher program plus the $300 from the tenant, totaling $990 per month.
This reimbursement model ensures that landlords receive a stable income even when the tenant's income fluctuates. However, it also creates a potential gap between the SAFMR and the local market rent. In ZIP 74637, the SAFMR of $890 exceeds the local market rent of $620, resulting in a surplus of $270 per month for landlords who participate in the Section 8 program.
Landlords should understand that the voucher system aims to make housing affordable for tenants while providing landlords with a consistent source of income. By participating, landlords can expect to receive a steady flow of rental payments, albeit at a rate slightly higher than the local market average.
In summary, the typical reimbursement for a two-bedroom unit in ZIP 74637 results in a surplus for landlords, making Section 8 participation a financially viable option 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.