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 | $1,340 |
| 1 Bedroom | $1,380 |
| 2 Bedrooms | $1,620 |
| 3 Bedrooms | $2,040 |
| 4 Bedrooms | $2,590 |
| 5 Bedrooms | $3,004 |
| 6 Bedrooms | $3,364 |
| 7 Bedrooms | $3,633 |
| 8 Bedrooms | $3,815 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,620 | $193,091 | 0.84% | C |
| 3BR | $2,040 | $246,876 | 0.83% | C |
| 4BR | $2,590 | $302,763 | 0.86% | C |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 75402, located in Greenville, TX, within Hunt County, revolve around the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment, which is set at $1550 for the fiscal year 2024. This SAFMR is specifically tailored for this ZIP code, ensuring it reflects the local rental market conditions accurately.
However, the local market rent for a similar unit, as indicated by ZORI (Zillow Observed Rent Index), stands at $1,492. This figure represents the average rent that tenants are willing to pay for a two-bedroom apartment in the area without the aid of a housing voucher.
A landlord participating in the Section 8 program receives payment from both the Housing Authority and the tenant. For a two-bedroom unit, the Housing Authority will cover up to 70% of the SAFMR, which amounts to $1085. The remaining 30%, or $465, must be paid by the tenant directly. In addition to the base rent, there are utility allowances that vary but typically range between $300 to $400 per month. These allowances are designed to help cover the cost of utilities such as electricity, water, and gas.
To illustrate, if a landlord charges the full SAFMR of $1550, the total reimbursement would include the $1085 from the Housing Authority plus the $465 from the tenant, totaling $1550. If utility allowances are considered at an average of $350, this brings the total monthly income to $1900. However, it's important to note that these utility allowances do not exceed the amount specified by HUD and can vary based on the specific unit and its location.
In comparison to the local market rent of $1,492, the SAFMR of $1550 provides a slight surplus of $58 for landlords. This means that even though the market rent is lower, landlords can still charge up to the SAFMR rate and receive a higher reimbursement than what the market would normally bear.
Landlords should be aware that the Section 8 program has strict guidelines regarding the condition and quality of the property, which can affect the overall profitability. Despite this, the economic reality of Section 8 in ZIP 75402 offers landlords a stable source of income with a minor surplus over the local market rates.
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.