Section 8 Fair Market Rent (FMR) for ZIP 75253 - 2027

Location: Dallas, TX | Metro: Dallas, TX HUD Metro FMR Area

Investment Score for ZIP 75253

C
Monthly Rent (2BR)
$1,580
Median Price (2BR)
$183,272
1% Rule
0.86%
Annual Yield
10.35%

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$1,300
1 Bedroom$1,340
2 Bedrooms$1,580
3 Bedrooms$1,990
4 Bedrooms$2,530
5 Bedrooms$2,935
6 Bedrooms$3,287
7 Bedrooms$3,550
8 Bedrooms$3,728

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 $1,580 $183,272 0.86% C
3BR $1,990 $243,758 0.82% C
4BR $2,530 $285,018 0.89% C

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
24,395
Median Household Income
$60,874
Housing Units
7,592
Renter Percentage
31.1%
Occupancy Rate
94.7%
Renter Occupied
2,236

In ZIP 75253, Dallas, TX, the real estate market presents a nuanced picture for both landlords and small-portfolio investors. The median home value stands at $261,425, indicating a relatively affordable housing market that has seen only minor adjustments with just 0.3% of listings reducing their prices. This suggests a stable market where sellers maintain significant pricing power, as evidenced by the lack of substantial price reductions. Landlords and investors can expect this pricing power to persist over the next 12-24 months, barring any unforeseen economic downturns.

The median days on market (DOM) being listed as N/A implies either very quick sales or an insufficient sample size to calculate an average. In either case, it aligns with the observation of strong seller's market conditions. Quick sales typically indicate high demand relative to supply, which supports the notion of sustained pricing power.

On the rental side, the Federal Market Rent (FMR) for ZIP 75253 in fiscal year 2024 is projected to be $1,620, while the current market rent, measured by Zillow's Observed Rent Index (ZORI), stands at $1,766. This indicates that the market rents slightly exceed the government-subsidized rates, suggesting a potential opportunity for landlords participating in the Section 8 program. However, it also implies that there could be some pressure on maintaining higher-than-FMR rents due to the subsidy gap.

For long-term investors, the realistic appreciation thesis in ZIP 75253 leans towards modest gains. The stable median home value and slight reduction in listings point to a balanced market rather than one experiencing rapid appreciation. This stability means that investors should focus on cash flow and property management efficiency rather than relying heavily on capital appreciation as a primary investment strategy.

To summarize, the data points to a market where sellers have the upper hand, with little indication of significant price drops in the near future. Rental dynamics suggest a competitive edge for those willing to manage Section 8 properties efficiently. Long-term investors should anticipate steady but not explosive growth in property values, necessitating a careful balance between rental income and maintenance costs.

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.