Location: Dallas, TX | Metro: Dallas, TX HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,670 |
| 1 Bedroom | $1,730 |
| 2 Bedrooms | $2,030 |
| 3 Bedrooms | $2,560 |
| 4 Bedrooms | $3,250 |
| 5 Bedrooms | $3,770 |
| 6 Bedrooms | $4,222 |
| 7 Bedrooms | $4,560 |
| 8 Bedrooms | $4,788 |
U.S. Census Bureau data (2024)
The ZIP code 75251, located within the Dallas, TX HUD Metro FMR Area, can serve as a cash-flow anchor within a Section 8 portfolio strategy. This designation is based on the significant spread between the Fair Market Rent (FMR) set by HUD for the fiscal year 2024 and the actual market rents in the area. For ZIP 75251, the FMR is set at $2030, whereas the market rent stands at $1634. This discrepancy means that landlords who participate in the Section 8 program can expect higher rental income compared to the local market rates.
The higher guaranteed rent through the Section 8 program helps stabilize cash flow, especially when considering the risks associated with non-payment or late payments from tenants. Given the FMR exceeds the market rent, landlords can benefit from a consistent, above-average income stream without the volatility often seen in purely market-driven rental properties. The median home value data is currently unavailable, but the focus on rental income makes this less relevant for cash-flow considerations.
This ZIP code is not an appreciation play due to the lack of specific data regarding price-cut shares and days on market (DOM), which would indicate trends in property value growth. However, the strong renter share of 98.6% and a median income of $90,396 make it a robust choice for diversification within a portfolio. The high percentage of renters suggests a stable demand for rental properties, while the median income figure indicates a population capable of supporting higher rental rates.
In conclusion, ZIP 75251 is best positioned as a cash-flow anchor for a Section 8 portfolio strategy. The guaranteed higher rents through the FMR system provide stability and predictability, crucial elements for landlords and small-portfolio investors looking to secure their financial positions in a dynamic housing market.
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.