Location: Fort Worth-Arlington, TX | Metro: Dallas, 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 | $1,880 |
| 1 Bedroom | $1,910 |
| 2 Bedrooms | $2,250 |
| 3 Bedrooms | $2,910 |
| 4 Bedrooms | $3,670 |
| 5 Bedrooms | $4,257 |
| 6 Bedrooms | $4,768 |
| 7 Bedrooms | $5,149 |
| 8 Bedrooms | $5,406 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,250 | $552,437 | 0.41% | F |
| 3BR | $2,910 | $956,574 | 0.3% | F |
| 4BR | $3,670 | $1,207,317 | 0.3% | F |
| 5BR | $4,257 | $1,711,670 | 0.25% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 76092, Southlake, TX, involve understanding the difference between the SAFMR (Small Area Fair Market Rent) and the local market rent. For a two-bedroom apartment in this ZIP code, the SAFMR for FY 2024 is set at $2020. This SAFMR is specific to this ZIP code, meaning it does not represent the average for the entire county but is tailored to reflect the rental conditions in Southlake.
In contrast, the local market rent, measured by ZORI (Zillow Observed Rent Index), stands at $6,500 for a two-bedroom unit. This figure represents the actual rent that tenants might pay on the open market without a voucher.
A landlord participating in the Section 8 program receives reimbursement based on the SAFMR, which includes both the tenant's portion and any utility allowances. The tenant is typically responsible for paying 30% of their adjusted income towards rent. If we assume an average adjusted income for a tenant in this ZIP code, the tenant's contribution would be calculated as follows:
If a tenant has an adjusted monthly income of $1,500, they would pay 30% of that, which is $450. The remaining amount up to the SAFMR would be covered by the housing authority. In this case, the housing authority would pay $1570, bringing the total to the SAFMR of $2020.
Utility allowances vary depending on the season and the type of utilities included. For simplicity, let’s assume an additional utility allowance of $200. This brings the total reimbursement to the landlord to $1770.
To summarize the reimbursement process, the landlord receives the tenant's portion ($450) plus the housing authority's payment ($1570) plus any utility allowance ($200), totaling $2220. However, since the SAFMR is $2020, the actual reimbursement would be capped at this amount, even if the sum of the individual components exceeds it.
The typical reimbursement gap or surplus in this scenario is the difference between the local market rent and the SAFMR. In ZIP 76092, landlords would face a significant reimbursement gap, with the SAFMR of $2020 falling well short of the local market rent of $6,500. This results in a reimbursement shortfall of $4480 per month for a two-bedroom unit.
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.