Location: Panola County, TX | Metro: Harrison County, TX HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $880 |
| 1 Bedroom | $960 |
| 2 Bedrooms | $1,260 |
| 3 Bedrooms | $1,500 |
| 4 Bedrooms | $1,660 |
| 5 Bedrooms | $1,926 |
| 6 Bedrooms | $2,157 |
| 7 Bedrooms | $2,330 |
| 8 Bedrooms | $2,447 |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP 75672 in fiscal year 2024 is set at $1150. Comparatively, the average market rent is $1,089, and the median home value stands at $209,914. This means that the FMR is higher than the market rent, providing a positive spread of $61. This spread ensures that landlords participating in the Section 8 program can maintain steady cash flow without having to worry about rent shortfalls.
A cash-flow anchor is essential for any real estate investment portfolio, especially when dealing with subsidized housing programs such as Section 8. The consistent rental income, guaranteed by the government up to the FMR, helps stabilize overall portfolio performance and provides reliable cash flow even during economic downturns.
While ZIP 75672 does offer some potential for appreciation, with a low 0.2% price-cut share indicating strong demand and N/A-day Days on Market suggesting quick sales, these factors are secondary to the cash flow stability offered by the Section 8 program. Appreciation plays typically require a longer-term outlook and a willingness to ride out market fluctuations, which may not align with the immediate cash flow needs of many landlords and small-portfolio investors.
ZIP 75672 also offers diversification benefits, with a 19.4% renter share and a median income of $70,610. However, diversification alone is not enough to justify its inclusion in a Section 8 portfolio. The primary reason for choosing this ZIP code is the ability to leverage the Section 8 program for stable, predictable cash flows, which is critical for maintaining financial health and covering ongoing expenses such as maintenance, insurance, and property taxes.
In summary, ZIP 75672 serves as a solid cash-flow anchor within a Section 8 portfolio due to the favorable spread between the FMR and market rents, ensuring landlords receive a guaranteed income above the local market average.
Data Sources: FMR data from HUD (2027). 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.