Location: Limestone County, TX | Metro: Waco, 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 | $770 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,120 |
| 3 Bedrooms | $1,440 |
| 4 Bedrooms | $1,490 |
| 5 Bedrooms | $1,728 |
| 6 Bedrooms | $1,935 |
| 7 Bedrooms | $2,090 |
| 8 Bedrooms | $2,195 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,120 | $265,062 | 0.42% | F |
| 3BR | $1,440 | $356,795 | 0.4% | F |
| 4BR | $1,490 | $474,187 | 0.31% | F |
U.S. Census Bureau data (2024)
The median income in ZIP code 76624, Texas, stands at $79,625. Considering the market rate for rent is $925 per month according to Census ACS data, it suggests that the majority of households in this area can afford the rent. However, the Family Monthly Income (FMI) standard set by the Housing Choice Voucher program for ZIP code 76624 in fiscal year 2024 is $1140. This indicates a significant gap between the market rate and the voucher payment standard.
The disparity between the $925 market rate and the $1140 voucher payment means that landlords could potentially earn more by accepting voucher tenants. However, given that only 10.3% of the 2,660 residents are renters, the competition for rental properties is relatively low. This implies that landlords have the flexibility to choose between voucher and cash-paying tenants based on their preference and management capabilities.
To summarize, while the median income supports the ability of most households to cover the $925 monthly rent, the higher voucher payment standard offers an opportunity for increased revenue. The low percentage of renters in the area reduces direct competition, allowing landlords to make informed decisions regarding their tenant mix. Landlords should consider the administrative aspects of managing voucher tenants alongside the financial benefits when deciding on their 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.