Location: Milam County, TX | Metro: Killeen-Temple, TX HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $890 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,110 |
| 3 Bedrooms | $1,540 |
| 4 Bedrooms | $1,870 |
| 5 Bedrooms | $2,169 |
| 6 Bedrooms | $2,429 |
| 7 Bedrooms | $2,623 |
| 8 Bedrooms | $2,754 |
U.S. Census Bureau data (2024)
The investment risk assessment for ZIP 76519 reveals several potential issues that could affect a landlord's decision to participate in the Section 8 program. Firstly, tenant turnover poses a significant challenge due to the discrepancy between the market rent and the Fair Market Rent (FMR) set at $1050 for FY 2024. This difference can lead to tenants seeking higher-value housing outside the subsidized range, increasing the likelihood of frequent turnovers.
Vacancy exposure is another concern. The average days on market (DOM) data is currently unavailable, which makes it difficult to predict how long properties might remain vacant before attracting a Section 8 tenant. This uncertainty can result in lost rental income during the vacancy period.
Deferred maintenance is a critical issue in ZIP 76519, where the typical home value is $337,361, while the median income stands at $90,682. This gap suggests that many homeowners and landlords may struggle to keep up with necessary repairs and upgrades, potentially leading to substandard living conditions that do not meet HUD requirements.
However, these risks must be weighed against the high concentration of renters in the area, with 16.3% of residents classified as renters. High renter density typically correlates with increased demand for housing vouchers, providing a stable pool of potential tenants who can afford the rent through government assistance.
In conclusion, despite the challenges posed by tenant turnover, vacancy exposure, and deferred maintenance, the high renter density in ZIP 76519 supports a relatively stable demand for Section 8 properties. This combination of factors leads to a moderate risk assessment for a first-time Section 8 landlord in this area.
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.