Location: Rains County, TX | Metro: Hopkins 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 | $820 |
| 1 Bedroom | $860 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,590 |
| 5 Bedrooms | $1,844 |
| 6 Bedrooms | $2,065 |
| 7 Bedrooms | $2,230 |
| 8 Bedrooms | $2,342 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,410 | $295,363 | 0.48% | F |
U.S. Census Bureau data (2024)
A household in ZIP code 75472, with a median income of $61,694, faces significant challenges in affording the market rate rent of $878 per month. This makes it difficult for many residents to find suitable housing without assistance.
The Federal Market Rent (FMR) for the area is set at $970 per month for fiscal year 2026, which is slightly higher than the current market rate. However, this FMR represents the maximum amount that a Section 8 voucher would cover, meaning landlords accepting vouchers must ensure their rents do not exceed this figure to remain eligible.
With only 23.0% of the 3,951 population being renters, competition among landlords for tenants is relatively low compared to densely populated rental markets. Nevertheless, the affordability gap between median income and market rate rent means that landlords should be prepared to offer competitive terms to attract and retain tenants.
The takeaway for landlords considering voucher versus cash-pay strategies is clear: while vouchers may limit potential rental income to $970 per month, they provide a reliable source of income and access to a pool of tenants who might otherwise struggle to afford housing in the area. Cash-paying tenants could potentially offer higher rents but come with the risk of financial instability given the local income levels. Landlords should weigh these factors carefully when deciding on their tenant acquisition strategy.
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.