Location: Polk County, TX | Metro: Polk County, TX
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 | $980 |
| 1 Bedroom | $990 |
| 2 Bedrooms | $1,290 |
| 3 Bedrooms | $1,540 |
| 4 Bedrooms | $1,860 |
| 5 Bedrooms | $2,158 |
| 6 Bedrooms | $2,417 |
| 7 Bedrooms | $2,610 |
| 8 Bedrooms | $2,741 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $990 | $90,835 | 1.09% | B |
| 2BR | $1,290 | $139,687 | 0.92% | C |
| 3BR | $1,540 | $250,618 | 0.61% | D |
| 4BR | $1,860 | $398,878 | 0.47% | F |
U.S. Census Bureau data (2024)
The potential pitfalls for a landlord investing in ZIP code 77360 in Onalaska, TX, under the Section 8 program are significant and should be carefully considered. Firstly, tenant turnover is a critical issue. The market rent stands at $1,115, while the Fair Market Rent (FMR) for fiscal year 2026 is set at $1,170 for the metro area. This discrepancy suggests that landlords might face higher turnover rates as tenants seek to match their voucher allowances with the actual rental costs.
Vacancy exposure is another concern. The Days on Market (DOM) figure is not available, which indicates an uncertain period during which properties might remain vacant. Given the high renter density in the area, represented by a 23.3% renter share, landlords can expect a competitive market for rental properties. However, this same high renter density could also mean a robust demand for Section 8 vouchers, potentially mitigating the risk of extended vacancies.
The deferred maintenance exposure is noteworthy, especially considering the typical home value of $179,688 and the median income of $60,402. Landlords must be prepared to invest in maintaining properties to meet the standards required by the Section 8 program. This includes addressing any issues that arise due to the lower median income, which may limit the ability of residents to cover maintenance costs beyond their voucher contributions.
In summary, while the high renter density in ZIP 77360 presents a favorable environment for voucher demand, the combination of potential tenant turnover, uncertain vacancy periods, and the need for property maintenance presents a moderate risk for a first-time Section 8 landlord.
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.