Section 8 Fair Market Rent (FMR) for ZIP 76261 - 2027
Location: Montague County, TX | Metro: Wichita Falls, TX MSA
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $800 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,070 |
| 3 Bedrooms | $1,460 |
| 4 Bedrooms | $1,590 |
| 5 Bedrooms | $1,844 |
| 6 Bedrooms | $2,065 |
| 7 Bedrooms | $2,230 |
| 8 Bedrooms | $2,342 |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$61,250
To determine if you should buy in ZIP code 76261 for Section 8 purposes, follow this decision tree:
- 1) Does the Fair Market Rent (FMR) of $1080 cover your debt service?
- Yes: Proceed to the next question.
- No: Do not invest in this area. The FMR is insufficient to meet your financial obligations.
- 2) How does the market rent compare to the FMR?
- Above FMR: This indicates strong demand and good pricing power. However, Section 8 tenants can only pay up to the FMR, so consider if you can attract other types of tenants or if you will need to adjust your rents to FMR levels.
- At FMR: Ideal scenario for Section 8 investment. Rents align perfectly with what Section 8 can pay, ensuring steady income without leaving money on the table.
- Below FMR: While this means you can potentially set rents lower than the FMR and still attract tenants, it also suggests that the local rental market might be less lucrative overall.
- 3) Is there sufficient demand with 17.0% of residents being renters and an average of N/A days on the market (DOM)?
- High demand (low DOM): Yes, the combination of a significant percentage of renters and quick turnover times suggests strong demand for rental properties. This supports the viability of a Section 8 investment.
- Moderate demand (moderate DOM): It depends. A moderate DOM could indicate that while there are renters, it's not a highly sought-after location. Consider other factors such as property values and vacancy rates before making a decision.
- Low demand (high DOM): No, a high DOM implies weak demand, which makes it challenging to find and retain tenants, even under a Section 8 program. Look for areas with stronger rental market activity.
The key to success in ZIP 76261 lies in balancing the FMR against your debt service requirements and understanding the local rental market dynamics. With 17.0% of the population renting, there is a base level of demand, but the DOM figure is critical in determining how competitive the market is. Ensure you conduct thorough due diligence on individual properties and the broader economic conditions to make an informed decision.
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.