Location: Stephens County, TX | Metro: Palo Pinto County, TX
| Unit Size | Monthly FMR |
|---|---|
| Studio | $790 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,400 |
| 4 Bedrooms | $1,620 |
| 5 Bedrooms | $1,879 |
| 6 Bedrooms | $2,104 |
| 7 Bedrooms | $2,272 |
| 8 Bedrooms | $2,386 |
U.S. Census Bureau data (2024)
The ZIP code 76429 presents several challenges for landlords considering Section 8 investments. Tenant turnover is a significant concern due to the disparity between the market rent and the Fair Market Rent (FMR) set at $1,000 for FY 2026. This difference can lead to dissatisfaction among tenants who may find it difficult to cover additional costs beyond the voucher amount, increasing the likelihood of frequent moves.
Vacancy exposure is another critical issue. With an average days on market (DOM) that is currently unavailable, it's challenging to predict how long properties might remain vacant. However, the typical home value in the area stands at $443,143, which is relatively high, suggesting that maintenance costs could be substantial if deferred. Landlords must ensure they have the financial resources to maintain their properties adequately to avoid costly repairs down the line.
Despite these risks, there are mitigating factors that make Section 8 investment in ZIP 76429 a viable option. The renter share in the area is 12.8%, indicating a high concentration of renters. This high density often correlates with increased demand for housing vouchers, which can stabilize occupancy rates. Furthermore, the presence of a significant number of renters typically means a larger pool of potential tenants, reducing the impact of any single tenant leaving.
In conclusion, while there are notable risks associated with Section 8 investments in ZIP 76429, the high renter share provides a buffer against some of these issues. The overall risk level for a first-time Section 8 landlord in this area is moderate.
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.