Location: Burnet County, TX | Metro: Killeen-Temple, TX HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $960 |
| 1 Bedroom | $960 |
| 2 Bedrooms | $1,240 |
| 3 Bedrooms | $1,710 |
| 4 Bedrooms | $2,060 |
| 5 Bedrooms | $2,390 |
| 6 Bedrooms | $2,677 |
| 7 Bedrooms | $2,891 |
| 8 Bedrooms | $3,036 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,710 | $324,352 | 0.53% | F |
| 4BR | $2,060 | $400,592 | 0.51% | F |
U.S. Census Bureau data (2024)
The ZIP code 76539, located in Burnet County, TX metro, can serve as a cash-flow anchor within a Section 8 portfolio strategy. The Federal Market Rent (FMR) for FY 2024 in this area is set at $980, which is significantly lower than the current market rent of $1,379. This creates a spread of $399 per month, allowing landlords to secure higher rental incomes from tenants who are not part of the Section 8 program.
Beyond the immediate cash flow benefits, the median home value in ZIP 76539 is $359,758, indicating a stable housing market. However, the low FMR compared to market rents suggests that landlords can leverage the Section 8 program to maintain occupancy rates while still achieving above-average returns on their investments. This makes ZIP 76539 particularly attractive for landlords looking to balance risk and reward within their portfolios.
While there is a 0.2% price-cut share, suggesting that homes in this area might occasionally be listed at reduced prices, the median income of $100,625 is relatively high. This implies that even though the FMR is low, the overall economic health of the area is robust, providing a strong foundation for long-term stability and growth in property values.
The 6.9% renter share indicates that a significant portion of the population owns their homes, which can also be beneficial for landlords as it suggests a balanced market where both homeownership and renting coexist without overwhelming dominance from either side. This balance can contribute to steady demand for rental properties and help mitigate risks associated with over-reliance on any single tenant type.
In conclusion, ZIP 76539 stands out as a cash-flow anchor due to the substantial spread between the FMR and market rent, ensuring landlords receive competitive returns. Its stable median home value and healthy median income further support its role as a reliable component of a diversified Section 8 investment strategy.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.