Location: Cooke County, TX | Metro: Sherman-Denison, TX MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,470 |
| 1 Bedroom | $1,500 |
| 2 Bedrooms | $1,870 |
| 3 Bedrooms | $2,560 |
| 4 Bedrooms | $2,840 |
| 5 Bedrooms | $3,294 |
| 6 Bedrooms | $3,689 |
| 7 Bedrooms | $3,984 |
| 8 Bedrooms | $4,183 |
U.S. Census Bureau data (2024)
The ZIP code 76271, located within Cooke County, TX, presents a unique set of characteristics that can be compared to other ZIP codes within the same county. The Fair Market Rent (FMR) for ZIP 76271 in fiscal year 2024 is set at $1,600. This figure is slightly below the market rent of $1,739, indicating that properties in this area are somewhat undervalued relative to what the market demands.
The median home value in ZIP 76271 is $385,677, which is reflective of the overall housing market trends in Cooke County. However, it's the 28.1% renter share that stands out when evaluating this ZIP code for potential Section 8 investments. A higher percentage of renters often suggests a greater demand for affordable rental housing, which can be a significant factor for landlords and investors looking to participate in the Section 8 program.
When considering whether ZIP 76271 represents a value pocket, a mid-tier neighborhood, or a premium sub-market within its metro, the data points towards it being a value pocket. The FMR is lower than the market rent, suggesting that there is room for landlords to charge slightly above the FMR while still remaining competitive. Additionally, the relatively high renter share indicates a strong potential for Section 8 tenants, who are often seeking affordable housing options.
A divergence worth noting is that ZIP 76271 has a higher renter share but its home values are on par with the Cooke County average. This combination can signal a sweet spot for Section 8 investments, where the demand for rental properties is high, and the supply of available homes might offer opportunities for landlords to secure properties at potentially favorable prices.
In summary, ZIP 76271 appears to be a value pocket within the Cooke County, TX metro, offering a blend of affordability for both homeowners and renters, alongside a notable demand for rental housing. This makes it an attractive option for landlords and small-portfolio investors interested in participating in the Section 8 program.
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.