Location: Navarro County, TX | Metro: Navarro County, TX
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 | $730 |
| 1 Bedroom | $850 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,340 |
| 4 Bedrooms | $1,400 |
| 5 Bedrooms | $1,624 |
| 6 Bedrooms | $1,819 |
| 7 Bedrooms | $1,965 |
| 8 Bedrooms | $2,063 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,340 | $245,419 | 0.55% | F |
U.S. Census Bureau data (2024)
The median income in ZIP code 75144 stands at $62,949, indicating that households in this area have limited financial flexibility when it comes to housing expenses. The market rate for rent, according to Census ACS data, is $940 per month. This places a significant burden on residents, as it represents nearly 18% of their annual income. In comparison, the Fair Market Rent (FMR) set by HUD for the metro area in fiscal year 2026 is slightly higher at $970 per month, which is the standard payment for Section 8 vouchers.
The affordability gap is evident when considering that the average household would spend almost 20% of their gross income on rent at the market rate, let alone the higher FMR rate. Given that only 27.0% of the 3,581 population are renters, competition among landlords is likely to be fierce for the limited number of potential tenants who can meet these rental standards.
Landlords operating in ZIP 75144 must carefully weigh the benefits of accepting Section 8 vouchers against the advantages of cash-paying tenants. While vouchers guarantee timely payments and reduce the risk of non-payment, they also come with a lower rent ceiling compared to the market rate. Cash-paying tenants might offer higher rents but present a greater risk of late payments or default.
The takeaway for landlords is that the decision between voucher and cash-pay strategies should consider the local economic conditions and tenant preferences. Accepting vouchers ensures a steady stream of income but caps potential earnings at the FMR rate. Opting for cash-pay tenants could yield higher rental income but requires a thorough assessment of each applicant’s ability to pay consistently.
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.