Location: Burnet County, TX | Metro: Lampasas County, 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 | $880 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,130 |
| 3 Bedrooms | $1,490 |
| 4 Bedrooms | $1,670 |
| 5 Bedrooms | $1,937 |
| 6 Bedrooms | $2,169 |
| 7 Bedrooms | $2,343 |
| 8 Bedrooms | $2,460 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,130 | $181,622 | 0.62% | D |
| 3BR | $1,490 | $281,303 | 0.53% | F |
| 4BR | $1,670 | $411,469 | 0.41% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 76550, located in Lampasas, TX, and spanning Lampasas County and Burnet County, reveals a competitive but manageable rental environment. The HUD Fair Market Rent (FMR) for FY 2024 is set at $1020, closely aligning with the Census ACS-reported market rent of $1,018. This parity suggests that voucher tenants will cashflow at FMR levels, providing a stable income stream without the need for premium unit pricing.
To further understand the investment potential, consider the median home value of $298,091. With an average market rent of $1,018, the rent-to-price ratio stands at approximately 0.34%, indicating that rental properties offer a significantly lower return relative to home ownership. However, this ratio also highlights the affordability of renting in the area, which can be attractive to voucher holders and other renters alike.
The dynamics between renting and buying in ZIP 76550 are noteworthy. The N/A-day median Days on Market (DOM) and the 0.2% share of homes making price cuts suggest a stable housing market with little pressure from home sellers to reduce prices. This stability supports the viability of rental investments, as it indicates a consistent demand for rental properties without significant competition from the sale of homes.
In conclusion, the strongest investor angle in this market is cashflow. Given the close alignment between HUD FMR and market rents, along with the stable housing market conditions, rental properties in ZIP 76550 are well-positioned to provide steady, predictable income for landlords and small-portfolio investors.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.