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 | $1,360 |
| 1 Bedroom | $1,400 |
| 2 Bedrooms | $1,650 |
| 3 Bedrooms | $2,080 |
| 4 Bedrooms | $2,640 |
| 5 Bedrooms | $3,062 |
| 6 Bedrooms | $3,429 |
| 7 Bedrooms | $3,703 |
| 8 Bedrooms | $3,888 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,650 | $248,913 | 0.66% | D |
| 3BR | $2,080 | $291,000 | 0.71% | D |
| 4BR | $2,640 | $340,361 | 0.78% | D |
| 5BR | $3,062 | $406,430 | 0.75% | D |
U.S. Census Bureau data (2024)
The Farmersville, TX area (ZIP code 75442) is positioned within the broader Dallas, TX HUD Metro FMR Area. To analyze its characteristics compared to typical ZIP codes within this metro, we can examine several key metrics including Fair Market Rent (FMR), market rent, home values, and renter share.
The FMR for ZIP 75442 is set at $1700 for fiscal year 2024. This figure represents the maximum amount that landlords can charge for a Section 8 voucher in this area. In comparison, the actual market rent is slightly lower at $1,535. This suggests that there is a reasonable margin between what landlords can charge through Section 8 vouchers and the prevailing market rates, which could be advantageous for landlords participating in the program.
The median home value in ZIP 75442 stands at $342,529. This value is indicative of the overall property costs in the area and can help landlords understand the general real estate market conditions. While specific comparative figures for the entire Dallas, TX HUD Metro FMR Area are not provided, the combination of a relatively moderate FMR and market rent with a higher home value might suggest that 75442 leans towards being a mid-tier neighborhood rather than a premium sub-market or a value pocket within the larger Dallas metro.
The renter share in 75442 is 18.4%, which is an important metric for understanding the proportion of renters in the area. Typically, a higher renter share can indicate a greater demand for rental properties. However, without specific data on the average renter share across the Dallas, TX HUD Metro FMR Area, it's challenging to definitively categorize this percentage. If the average renter share for the metro is significantly lower, then the higher share in 75442 could signal a potentially attractive area for Section 8 investments due to the alignment of higher renter demand with more affordable market rents.
To conclude, based on the provided figures, ZIP 75442 appears to be a mid-tier neighborhood within the Dallas, TX HUD Metro FMR Area. It offers landlords a decent opportunity to participate in the Section 8 program with a reasonable gap between FMR and market rent, alongside a higher-than-average renter share which could indicate strong demand for rental properties. However, to make a more precise assessment, further comparative data on FMR, market rent, home values, and renter shares across the entire metro would be beneficial.
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.