Location: Somervell County, TX | Metro: Fort Worth-Arlington, TX HUD Metro FMR Area
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 | $1,290 |
| 1 Bedroom | $1,310 |
| 2 Bedrooms | $1,540 |
| 3 Bedrooms | $2,010 |
| 4 Bedrooms | $2,520 |
| 5 Bedrooms | $2,923 |
| 6 Bedrooms | $3,274 |
| 7 Bedrooms | $3,536 |
| 8 Bedrooms | $3,713 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,540 | $166,331 | 0.93% | C |
| 3BR | $2,010 | $256,261 | 0.78% | D |
| 4BR | $2,520 | $331,663 | 0.76% | D |
| 5BR | $2,923 | $409,814 | 0.71% | D |
U.S. Census Bureau data (2024)
The Section 8 analysis for ZIP code 76033 in Cleburne, TX, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR is set at $1,440, while the Zillow Observed Rent Index (ZORI) indicates that the average market rent is $1,255. This creates a gap of $185, which translates to a 14.7% difference between the two figures.
Given that the FMR exceeds the market rent, properties in ZIP 76033 can be considered a yield play for landlords and small-portfolio investors who accept Section 8 vouchers. The higher FMR means that landlords can receive a subsidy that exceeds the typical rental rate in the area, thereby increasing their net yield. This is particularly advantageous in a market where 37.4% of residents are renters, indicating a substantial demand for affordable housing options.
The median home value in Cleburne is $272,488, and the median income stands at $76,292. These economic indicators suggest that the local population has a moderate level of disposable income, but still faces challenges in affording housing at market rates. The Section 8 program, therefore, serves as a critical bridge, allowing low-income families to access decent housing without placing an undue financial burden on landlords.
Landlords who participate in the Section 8 program in ZIP 76033 can expect a steady stream of rental income, as the government covers the difference between the market rent and the tenant's portion of the payment. This makes it a reliable investment option, especially in light of the current economic conditions and the ongoing need for affordable housing solutions.
In summary, the gap between the FMR and the market rent in ZIP 76033 presents a clear opportunity for landlords to enhance their yields through the acceptance of Section 8 vouchers. The program supports both the local community's need for affordable housing and the landlord's financial stability, making it a win-win scenario in the context of Cleburne's economic landscape.
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.