Location: Titus County, TX | Metro: Franklin 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 | $830 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,050 |
| 3 Bedrooms | $1,370 |
| 4 Bedrooms | $1,470 |
| 5 Bedrooms | $1,705 |
| 6 Bedrooms | $1,910 |
| 7 Bedrooms | $2,063 |
| 8 Bedrooms | $2,166 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,050 | $172,135 | 0.61% | D |
| 3BR | $1,370 | $252,364 | 0.54% | F |
| 4BR | $1,470 | $356,535 | 0.41% | F |
U.S. Census Bureau data (2024)
ZIP 75455, located in Mount Pleasant, TX, within the Titus County, TX metro area, presents a strategic opportunity for inclusion in a Section 8 portfolio. This ZIP code is best classified as an appreciation play. The key factors supporting this classification include the low price-cut share at 0.2%, indicating that properties are sold close to their listed prices, and the non-applicable day DOM (Days on Market), suggesting a robust demand for housing in the area.
The financial metrics further reinforce this position. For fiscal year 2026, the Fair Market Rent (FMR) for the metro area is set at $970, while the market rent stands at $1,400. This indicates a significant spread where market rents are higher than the government-set FMR, which benefits landlords who can secure tenants through the Section 8 program without compromising on rental income. Additionally, the median home value in ZIP 75455 is $227,618, which suggests that property values are stable and likely to appreciate over time, given the strong local demand.
ZIP 75455 is not a cash-flow anchor due to the relatively high spread between the FMR and market rent. Landlords can expect to receive rental payments that exceed the FMR, thereby enhancing their cash flow. However, it is important to note that the primary focus here should be on the potential for property value appreciation rather than immediate cash flow gains.
Nor is this ZIP code primarily a diversifier. While the renter share is 32.3%, which is noteworthy, and the median income is $56,163, these figures do not outweigh the appreciation potential. Diversification strategies typically seek areas with balanced tenant demographics and income levels to stabilize overall portfolio performance, but in ZIP 75455, the emphasis is more on capital growth.
In conclusion, ZIP 75455 offers a compelling case for landlords and small-portfolio investors looking to capitalize on the appreciation of real estate assets. The combination of low price-cut share, strong market demand, and a favorable spread between FMR and market rent makes it an ideal candidate for investment focused on long-term asset appreciation.
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.