Location: Killeen-Temple, TX | Metro: Killeen-Temple, TX HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $900 |
| 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 ZIP code 76596, located within the Killeen-Temple, TX HUD Metro FMR Area, serves as a strategic cash-flow anchor in a Section 8 portfolio. The Fair Market Rent (FMR) for ZIP 76596 in fiscal year 2024 is set at $1110 for a one-bedroom unit. This figure represents the baseline rental rate that can be expected from tenants participating in the Section 8 housing voucher program.
Despite the lack of specific data on the market rental rates and median home values for ZIP 76596, the FMR provides a reliable benchmark for cash flow stability. Landlords and small-portfolio investors can count on consistent rental income, as Section 8 vouchers cover a significant portion of the rent, ensuring that payments are made on time and in full. This makes ZIP 76596 an attractive location for properties aimed at maintaining steady cash flow.
The absence of detailed market data, such as price-cut shares and days on market (DOM), suggests limited volatility in the local real estate market. This further supports the idea of using ZIP 76596 as a cash-flow anchor rather than an appreciation play. Appreciation plays typically require a more dynamic market with fluctuating prices and varying DOM, which would provide opportunities for capital gains. However, the data indicates a stable environment that favors long-term, predictable income over short-term market fluctuations.
Furthermore, the lack of specific information regarding the percentage of renter share and median income does not detract from the cash-flow anchor argument. While these metrics could offer additional insights into the overall economic health and demand for rentals, the core strength of ZIP 76596 lies in its reliability as a source of consistent rental income through the Section 8 program.
In conclusion, ZIP 76596 should be considered a cash-flow anchor within a Section 8 portfolio strategy due to its defined FMR and the inherent stability of the Section 8 program. This allows investors to rely on a guaranteed income stream, which is essential for managing a diverse investment portfolio effectively.
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.