Location: Dallas, TX | Metro: Dallas, TX 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 | $1,580 |
| 1 Bedroom | $1,620 |
| 2 Bedrooms | $1,910 |
| 3 Bedrooms | $2,400 |
| 4 Bedrooms | $3,060 |
| 5 Bedrooms | $3,550 |
| 6 Bedrooms | $3,976 |
| 7 Bedrooms | $4,294 |
| 8 Bedrooms | $4,509 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,910 | $248,198 | 0.77% | D |
| 3BR | $2,400 | $352,131 | 0.68% | D |
| 4BR | $3,060 | $471,613 | 0.65% | D |
| 5BR | $3,550 | $575,115 | 0.62% | D |
U.S. Census Bureau data (2024)
The median income in ZIP code 75065, Lake Dallas, TX, stands at $102,597. Considering the market rate for rent is $1,665 according to Census ACS data, this suggests that a significant portion of households could afford the current rental rates. However, when comparing this to the Fair Market Rent (FMR) standard set at $1,820 for zip code 75065 in fiscal year 2024, it becomes evident that there is a slight affordability gap for renters.
This gap means that while the majority of residents can cover the market rate, some might struggle to meet the higher FMR standard without assistance. Given that only 26.2% of the 13,657 population are renters, the competition among landlords is relatively low compared to areas with higher percentages of renters. This implies that landlords have a smaller pool of potential tenants who are eligible for the higher FMR payments.
The takeaway for landlords is that while cash-paying tenants may be abundant due to the high median income, those relying on Section 8 vouchers will likely find it challenging to secure housing at the FMR rate. Landlords should consider the balance between accepting higher voucher payments which ensure stable income but limit tenant options, versus attracting cash-paying tenants who might be more plentiful but require competitive pricing. In essence, landlords must weigh the benefits of guaranteed income against the risk of reduced occupancy rates in a market where the demand for affordable housing slightly exceeds the current income levels of the renting population.
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.