Section 8 Fair Market Rent (FMR) for ZIP 75141 - 2027

FY 2027 Fair Market Rent Rates

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Housing Authorities Serving ZIP 75141

• Housing Authority of the City of Dallas, Texa (Dallas, TX) - 20,345 Section 8 vouchers
• Dallas County Housing Assistance Program (Dallas, TX) - 4,596 Section 8 vouchers
• Grand Prairie Housing & Neighborhood Services (Grand Prairie, TX) - 3,043 Section 8 vouchers
• Garland Housing Authority (Garland, TX) - 1,570 Section 8 vouchers
• City of Mesquite Housing Office (Mesquite, TX) - 1,550 Section 8 vouchers

A skeptical investor might question whether the Fair Market Rent (FMR) of $1710 for ZIP 75141 (Hutchins, TX) in fiscal year 2024 will sufficiently cover the mortgage on a home priced at $248,411. According to recent data, the median home price in 75141 has risen to $343K, indicating a growing market. However, the FMR figure alone does not guarantee mortgage coverage; it depends on the mortgage rate and terms.

The investor could also be concerned about the renter demand at 50.3%. While this percentage might seem low, it suggests that half of the households in the area are renters, providing a significant pool of potential tenants. Moreover, the median sale price per square foot has increased by 48.4% since last year, reflecting a robust interest in the local real estate market.

A final objection might be whether Section 8 vouchers will keep pace with the market rent of $1,396. The FMR of $1710 exceeds the current market rent, implying that voucher holders could potentially afford market-rate rents. However, the effectiveness of vouchers largely depends on the local Section 8 program's funding and efficiency.

To summarize:

• Mortgage Coverage: The FMR of $1710 may not fully cover the mortgage on a $248,411 home, depending on the mortgage rate and terms. A deeper analysis of mortgage options and the current interest rates is required.
• Renter Demand: At 50.3%, the renter demand is substantial, providing a reasonable assurance of finding tenants. The increase in median sale price per square foot indicates strong market activity.
• Voucher Adequacy: Given that the FMR is higher than the market rent, vouchers should theoretically cover market rates. Yet, the practical impact of vouchers depends on the local program's performance and funding.

Note: Specific mortgage rates and the exact number of units rented under Section 8 were not provided in the data. These factors would influence the overall financial viability of investing in ZIP 75141.

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.