Location: Fort Worth-Arlington, TX | Metro: Fort Worth-Arlington, TX HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,470 |
| 1 Bedroom | $1,490 |
| 2 Bedrooms | $1,750 |
| 3 Bedrooms | $2,290 |
| 4 Bedrooms | $2,870 |
| 5 Bedrooms | $3,329 |
| 6 Bedrooms | $3,728 |
| 7 Bedrooms | $4,026 |
| 8 Bedrooms | $4,227 |
When considering whether to invest in ZIP code 76162 for Section 8 properties, follow this decision tree:
1) Does the Fair Market Rent (FMR) of $1620 cover the debt service on a property?
No. If the FMR does not exceed the debt service costs, purchasing a property in 76162 would be financially unwise. Debt service must be covered to ensure profitability.
Yes. If the FMR of $1620 clears the debt service, proceed to the next question.
2) How does the market rent compare to the FMR?
Market rent is above FMR. This indicates strong rental demand and higher potential returns beyond Section 8 limits. However, if your investment strategy strictly adheres to Section 8, this could mean fewer tenants qualify for the program, reducing demand for your units.
Market rent is at or below FMR. This suggests that the area has a high concentration of low-income households, making it suitable for Section 8 tenants. Proceed to the third question.
3) Is the combination of the percentage of renters and days on market (DOM) sufficient to meet demand?
It depends. The exact percentages and DOM figures are not provided, but generally, a higher percentage of renters and lower DOM indicate strong demand. For instance, if over 50% of the population are renters and the average DOM is under 30 days, this would suggest a robust market. Conversely, if less than 40% are renters and the DOM exceeds 60 days, demand is weak. A balanced scenario, where around 45-50% are renters and DOM is between 30-60 days, would require further analysis of local economic trends and tenant preferences.
Based on the provided data, the primary gating factor is the FMR of $1620. Ensure this amount covers your debt service before proceeding. Next, evaluate the market rent relative to the FMR to understand the broader rental landscape. Finally, assess the demand indicators—renter percentages and DOM—to determine if there's a viable tenant pool for your investment.
Data Sources: FMR data from HUD (2027).
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.