Location: Schleicher County, TX | Metro: San Angelo, TX MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $890 |
| 1 Bedroom | $950 |
| 2 Bedrooms | $1,220 |
| 3 Bedrooms | $1,640 |
| 4 Bedrooms | $1,840 |
| 5 Bedrooms | $2,134 |
| 6 Bedrooms | $2,390 |
| 7 Bedrooms | $2,581 |
| 8 Bedrooms | $2,710 |
U.S. Census Bureau data (2024)
The potential pitfalls of investing in Section 8 properties in ZIP code 76935 are significant and must be carefully considered. Tenant turnover can be a major issue, particularly when comparing the non-disclosed market rent to the $1150 Fair Market Rent (FMR) for fiscal year 2024. This discrepancy may lead to higher tenant churn rates as individuals seek better rental deals outside the program. Additionally, vacancy exposure is a concern due to the lack of disclosed days on market (DOM), which indicates uncertainty regarding how quickly units can be filled. The typical home value in this area is $450,562, while the median income stands at $76,250, suggesting a substantial gap that could result in deferred maintenance issues if tenants struggle to afford necessary repairs.
However, these risks must be weighed against the favorable factors present in ZIP 76935. With a 1.1% renter share, the area exhibits a high concentration of renters, which typically correlates with increased demand for housing vouchers. This dense population of potential voucher holders can provide a steady stream of tenants willing to meet the FMR, thereby mitigating some of the risks associated with vacancy and turnover.
In conclusion, despite the challenges posed by uncertain market conditions and financial constraints, the high density of renters in ZIP 76935 creates a compelling opportunity for landlords and small-portfolio investors. The overall risk for a first-time Section 8 landlord in this ZIP code is moderate.
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.