Location: Coleman County, TX | Metro: Coleman County, TX
| Unit Size | Monthly FMR |
|---|---|
| Studio | $820 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $1,080 |
| 3 Bedrooms | $1,290 |
| 4 Bedrooms | $1,560 |
| 5 Bedrooms | $1,810 |
| 6 Bedrooms | $2,027 |
| 7 Bedrooms | $2,189 |
| 8 Bedrooms | $2,298 |
U.S. Census Bureau data (2024)
The Section 8 market analysis for ZIP code 76888 in Coleman County, Texas, reveals significant potential for landlords and small-portfolio investors. The HUD Fair Market Rent (FMR) for the area, set at $1,050 for the fiscal year 2026, far exceeds the current market rent of $530 based on Census ACS data. This substantial difference means that voucher tenants will generally cashflow positively at the HUD FMR rate.
To illustrate the financial advantage, consider that the HUD FMR allows landlords to charge nearly double the going market rate. For instance, an apartment renting for $530 could be leased to a voucher tenant at $1,050, resulting in a monthly profit of $520 per unit. This positive cashflow scenario applies across most units in the portfolio, not just premium ones, making it an attractive proposition for investors seeking reliable income streams.
Regarding the median home value, the data is currently not available, which makes deriving a precise rent-to-price ratio challenging. However, the absence of such data does not necessarily indicate poor performance; it often signifies a lack of recent sales data or a smaller, less active housing market. In the context of rental investment, the focus should remain on the robust cashflow generated by the disparity between market rents and HUD FMRs.
The days on market (DOM) and price-cut share data are also not available, but given the significant gap between market rents and HUD FMRs, the dynamics suggest that rental properties are likely more viable than purchasing homes in this area. The stability and predictability of rental income, especially when tied to government-subsidized vouchers, provide a strong foundation for investment decisions.
The strongest investor angle in ZIP 76888 is undoubtedly cashflow, given the favorable rates set by HUD compared to the local market conditions. This scenario presents a clear opportunity for steady, predictable returns without relying on speculative growth or volatile market conditions.
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.