Section 8 Fair Market Rent (FMR) for ZIP 75063 - 2027

Investment Score for ZIP 75063

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	$1,740
1 Bedroom	$1,790
2 Bedrooms	$2,110
3 Bedrooms	$2,660
4 Bedrooms	$3,380
5 Bedrooms	$3,921
6 Bedrooms	$4,392
7 Bedrooms	$4,743
8 Bedrooms	$4,980

Investment Analysis by Bedroom Size

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

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$2,110	$295,708	0.71%	D
3BR	$2,660	$470,553	0.57%	F
4BR	$3,380	$695,311	0.49%	F
5BR	$3,921	$878,703	0.45%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 75063 (Irving, TX) #### Section 8 Voucher Dynamics In ZIP code 75063, the Fair Market Rent (FMR) for a two-bedroom apartment is set at $2310 per month for 2026. This amount represents 23.7% of the median household income of $117,133. However, the actual rent for a two-bedroom unit is significantly higher, with Zillow reporting a median price of $300,282. The price-to-FMR ratio of 10.8x indicates that the actual rental costs far exceed the FMR, creating a significant challenge for Section 8 voucher holders. For instance, a three-bedroom apartment has an FMR of $2910, but the actual cost could be much higher given the current market dynamics. This disparity means that voucher holders may struggle to find suitable housing within their budget, especially considering the high rent-to-income ratio. #### Affordability & Renter Profile The ZIP code 75063 has a population of 45,849, with 62.3% being renters. This high percentage of renters suggests a strong demand for rental properties in the area. The occupancy rate stands at 92.6%, indicating that the market is relatively tight, with few vacancies available. Given the median household income of $117,133, most residents can afford higher rents, but the significant portion of renters (62.3%) implies that there is still a substantial need for affordable housing options. The FMRs are considerably lower than the actual market rates, making it difficult for low-income households to secure housing without substantial financial assistance. #### Investor Angle For investors focusing on Section 8 properties, the ZIP code 75063 presents both opportunities and challenges. The FMRs are set at levels that are well below the actual market rates, which means that properties rented through Section 8 vouchers will likely generate less cash flow compared to market-rate rentals. For example, a two-bedroom property with an FMR of $2310 would yield significantly less revenue than the actual median rental price. However, the high demand for rental properties and the strong occupancy rate suggest that there is a steady stream of potential tenants. From an investment grade perspective, the ZIP code 75063 is considered stable due to its high median household income and strong rental market. Nevertheless, the cash flow potential is limited by the low FMRs relative to actual market prices. Investors should carefully consider the trade-off between the stability of having guaranteed tenants through the Section 8 program and the lower cash flow generated by these properties. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high price-to-FMR ratio, investors might want to focus on smaller units such as one-bedroom apartments, where the FMR is $1970. Although the cash flow will still be lower compared to market rates, the demand for smaller units is likely to be higher among low-income households who qualify for Section 8 vouchers. This strategy can help ensure a steady stream of tenants while minimizing the risk of vacancy. 2. **Consider Location-Specific Factors**: Irving, TX, is part of Dallas County, which has a diverse economy driven by sectors like healthcare, technology, and finance. Investors should look into neighborhoods within ZIP 75063 that have strong employment centers nearby, as this can attract more renters and potentially increase the likelihood of finding tenants willing to pay closer to the FMR. Additionally, proximity to public transportation, schools, and other amenities can make a property more attractive to voucher holders. #### Bottom Line For Section 8-focused investors, the ZIP code 75063 is a **Hold** recommendation. While the strong rental market and high occupancy rates provide some stability, the significant gap between FMRs and actual market rates limits the cash flow potential. Investors should carefully evaluate the specific location and unit size before committing to a purchase, as these factors can influence the ability to attract and retain tenants. Overall, the market is challenging but not impossible for those willing to navigate the constraints effectively.

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.