Location: Milam County, TX | Metro: College Station-Bryan, TX MSA
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 | $930 |
| 1 Bedroom | $980 |
| 2 Bedrooms | $1,140 |
| 3 Bedrooms | $1,490 |
| 4 Bedrooms | $1,810 |
| 5 Bedrooms | $2,100 |
| 6 Bedrooms | $2,352 |
| 7 Bedrooms | $2,540 |
| 8 Bedrooms | $2,667 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,490 | $229,023 | 0.65% | D |
| 4BR | $1,810 | $308,486 | 0.59% | F |
U.S. Census Bureau data (2024)
The potential pitfalls of investing in Section 8 properties in ZIP code 76567 are significant. Firstly, tenant turnover is likely to be high due to the disparity between the market rent of $993 and the Fair Market Rent (FMR) set for FY 2024 at $930. This discrepancy can lead to frequent changes in occupancy, which increases administrative burdens and operational costs for landlords.
Vacancy exposure is another critical concern. The Days on Market (DOM) figure for the area is currently unavailable, indicating that there might be challenges in accurately predicting how long it will take to fill vacancies. In a market where the typical home value stands at $242,595, landlords must be prepared for periods of non-rental income, which can strain cash flows.
Deferred maintenance is also a risk factor. With a median income of $69,983, many tenants may struggle to cover the cost of repairs and maintenance, placing the financial burden squarely on the landlord. Ensuring that properties remain in good condition while managing lower rental income can be challenging.
However, these risks must be weighed against the high renter density in ZIP 76567. The 24.3% renter share suggests a robust demand for rental housing, including those supported by Section 8 vouchers. High renter concentration often translates into a steady stream of potential tenants who are interested in subsidized housing options, reducing the likelihood of prolonged vacancies.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.