Location: Lamar County, TX | Metro: Fannin 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 | $710 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,400 |
| 4 Bedrooms | $1,660 |
| 5 Bedrooms | $1,926 |
| 6 Bedrooms | $2,157 |
| 7 Bedrooms | $2,330 |
| 8 Bedrooms | $2,447 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,400 | $225,073 | 0.62% | D |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 75446 are defined by the SAFMR (Small Area Fair Market Rent) rates established by HUD for the fiscal year 2026. For a two-bedroom apartment, the SAFMR is set at $970 per month. This figure represents the maximum amount that a landlord can receive from the federal government via a Section 8 Housing Choice Voucher program for renting a unit in this specific ZIP code.
In contrast, the local market rent for a two-bedroom unit, based on Census ACS data, averages $599 per month. This discrepancy highlights the potential financial benefit of participating in the Section 8 program, as it offers higher rental income than the average market rate.
A landlord's actual reimbursement under a Section 8 voucher is calculated by considering both the tenant's portion of the rent and any utility allowances. The tenant is responsible for paying approximately 30% of their adjusted income towards rent, while the voucher covers the difference between the tenant's payment and the SAFMR rate. Utility allowances are also included in the voucher payment but do not exceed a certain limit set by HUD.
To illustrate, if a tenant's portion of the rent is $300, the voucher would cover the remaining $670 to reach the total SAFMR of $970. However, the landlord must ensure that the rent charged does not exceed the SAFMR rate, even if the market conditions might justify a higher price.
The typical reimbursement gap or surplus in ZIP 75446 for a two-bedroom apartment is the difference between the SAFMR and the local market rent. In this case, the surplus is $371 ($970 - $599), indicating that landlords can expect to earn significantly above the average local rent when they participate in the Section 8 program.
This surplus provides a financial cushion for landlords, ensuring that they receive a steady and higher income compared to the local market. It also helps tenants afford housing that might otherwise be out of reach given their income levels.
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.