Location: Pushmataha County, OK | Metro: Choctaw County, OK
| Unit Size | Monthly FMR |
|---|---|
| Studio | $720 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,310 |
| 4 Bedrooms | $1,450 |
| 5 Bedrooms | $1,682 |
| 6 Bedrooms | $1,884 |
| 7 Bedrooms | $2,035 |
| 8 Bedrooms | $2,137 |
U.S. Census Bureau data (2024)
A skeptical investor might question whether the Fair Market Rent (FMR) of $1,020 for ZIP 74754 will sufficiently cover the mortgage on a home. Given the median home price of $225,000, let's assume a typical mortgage rate of 4.5%. A 20% down payment would result in a principal amount of $180,000. With these figures, the monthly mortgage payment, including principal and interest, would be approximately $900. This suggests that the FMR of $1,020 could indeed cover the mortgage payment, leaving a small margin for property taxes, insurance, and maintenance.
The second objection could be whether there is sufficient renter demand at 23.5%. The percentage indicates that nearly one-quarter of the homes in 74754 are rented out. While this may seem low compared to urban areas, it still represents a significant portion of the housing stock. Moreover, with 85.08% of homes having more than 50% equity, there is a strong indication that homeownership is valued in this area, which can also support a steady rental market due to owner-occupied stability.
Lastly, an investor might wonder if voucher recipients will keep pace with the market rents. According to HUD data, the FMR for ZIP 74754 is set at $1,020 for fiscal year 2026. However, the specific trend of voucher allocation in this ZIP code is not readily available. To address this, it's important to monitor local housing authority announcements and HUD updates closely to ensure that the FMR adjustments align with actual market conditions.
In summary, while there are valid concerns regarding mortgage coverage, renter demand, and voucher adequacy, the data suggests that the FMR of $1,020 is likely sufficient for mortgage payments and that the rental market, though modest, is stable. Continuous monitoring of local housing authority updates will be crucial for assessing the long-term viability of Section 8 investments in ZIP 74754.
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.