Location: Sabine County, TX | Metro: Jasper 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 | $770 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,380 |
| 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: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,380 | $351,774 | 0.39% | F |
U.S. Census Bureau data (2024)
Investors considering ZIP 75931 should first question whether the Fair Market Rent (FMR) of $970 for the fiscal year 2026 will sufficiently cover the mortgage on an average-priced home valued at $269,003. The median monthly mortgage payment for a home in this price range, assuming a 30-year fixed-rate mortgage at 4%, would be around $1,300. This means that the FMR alone does not cover the mortgage costs, leaving a gap of approximately $330 per month. To offset this, landlords can consider raising the rent above the FMR, but they must ensure that the higher rent remains competitive within the local market.
A second concern is the relatively low percentage of renters at 18.8%. This figure suggests that the majority of residents in ZIP 75931 prefer homeownership over renting, which could limit the pool of potential tenants. However, the FMR indicates a willingness to pay a certain amount for housing, suggesting that there is still a market for rental properties. Landlords can mitigate risk by targeting specific segments of the rental market, such as students or young professionals who may be less inclined to purchase property.
The final objection relates to the ability of Housing Choice Vouchers to keep up with market rents, currently set at $729. While the voucher program aims to provide affordable housing options, the actual amount paid can vary based on the tenant's income and the landlord's agreement. In ZIP 75931, landlords accepting vouchers should anticipate that the subsidy might not fully match the market rent, requiring them to either accept lower returns or negotiate with tenants to cover the difference. The voucher program's effectiveness in covering market rents is dependent on the local administration's funding levels and the availability of vouchers, which can fluctuate year to year.
To summarize, while ZIP 75931 presents challenges in terms of covering mortgage costs with FMR and the relatively low percentage of renters, the data also shows opportunities for strategic investment. Landlords should carefully evaluate their property pricing and target market to ensure profitability. The voucher system provides support but may not fully align with current market rents, necessitating careful consideration of financial projections.
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.