Section 8 Fair Market Rent (FMR) for ZIP 74820 - 2027

Location: Pontotoc County, OK | Metro: Johnston County, OK

Investment Score for ZIP 74820

B
Monthly Rent (2BR)
$1,020
Median Price (2BR)
$94,483
1% Rule
1.08%
Annual Yield
12.95%

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

Unit Size Monthly FMR
Studio$710
1 Bedroom$780
2 Bedrooms$1,020
3 Bedrooms$1,270
4 Bedrooms$1,420
5 Bedrooms$1,647
6 Bedrooms$1,845
7 Bedrooms$1,993
8 Bedrooms$2,093

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,020 $94,483 1.08% B
3BR $1,270 $190,133 0.67% D
4BR $1,420 $313,259 0.45% F
5BR $1,647 $412,683 0.4% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
31,943
Median Household Income
$62,357
Housing Units
14,552
Renter Percentage
36.8%
Occupancy Rate
86.8%
Renter Occupied
4,651

The rent math in ZIP 74820 (Ada, OK, Pontotoc County, OK metro) is favorable but tight. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,040, while the actual market rent, as measured by ZORI, is $1,014. This indicates that landlords can expect to charge close to the FMR, making it feasible to cover costs and generate modest profits.

Acquisition in this ZIP code is relatively affordable. With a median home value of $184,072, purchasing properties here is within reach for many investors. The low days on the market (DOM) of 30 days and a minuscule 0.2% price-cut share suggest that homes sell quickly and rarely require price reductions, indicating a stable and efficient market for property acquisition.

Tenant demand in Ada is strong. The population of 31,943 residents, combined with a substantial 36.8% renter share, ensures a consistent pool of potential tenants. This high percentage of renters suggests a vibrant rental market where landlords can easily find and retain tenants.

In summary, ZIP 74820 presents a viable opportunity for landlords and small-portfolio investors. The rent math works closely enough to support profitability, acquisition costs are reasonable with efficient sales processes, and there is a robust tenant demand. These factors collectively contribute to a positive investment climate in Ada, OK.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.