Section 8 Fair Market Rent (FMR) for ZIP 76634 - 2027

Location: Bosque County, TX | Metro: Killeen-Temple, TX HUD Metro FMR Area

Investment Score for ZIP 76634

Monthly Rent (2BR)

$1,110

Median Price (2BR)

$182,568

1% Rule

0.61%

Annual Yield

7.3%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$890
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

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$1,110	$182,568	0.61%	D
3BR	$1,540	$252,892	0.61%	D
4BR	$1,870	$377,395	0.5%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

7,537

Median Household Income

$74,694

Housing Units

3,702

Renter Percentage

25.2%

Occupancy Rate

81.2%

Renter Occupied

758

Clifton, TX, represented by ZIP code 76634, is a small community located in Erath County, known for its agricultural roots and quiet living environment. The area offers a mix of single-family homes and rental properties, catering to both homeowners and renters.

The Fair Market Rent (FMR) for ZIP 76634 in fiscal year 2024 is set at $1020, indicating the average rent cost for a two-bedroom apartment, which is higher than the actual market rent.
The market rent for the area, based on Census ACS data, stands at $915, suggesting that the actual rents charged are below the FMR, potentially offering landlords opportunities to slightly increase their rates without losing tenants.
The median home value in Clifton, TX, is $224,580, reflecting the overall housing market's stability and providing a benchmark for property values in the area.
Renters make up 25.2% of the population, showing a significant but not overwhelming portion of the market dedicated to rentals, which could be beneficial for landlords looking to diversify their investment portfolio.
The median household income in the area is $74,694, which is above the national average and suggests that residents have the financial capacity to afford slightly higher rents, especially if they perceive good value.
Unfortunately, the data does not provide the number of days on market (DOM), which would help assess how quickly properties are typically rented out or sold in the area.

Synthesizing these points, investors can see that while the market rent is currently below the FMR, there is room for slight increases due to the area's relatively high median income. With a quarter of the population renting, the demand for rental properties is present, though not dominant. The median home value provides assurance of property appreciation potential over time. However, the lack of DOM data makes it challenging to gauge the speed of transactions in the local real estate market, which is a critical factor for small-portfolio investors considering the liquidity of their investments.

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.