Section 8 Fair Market Rent (FMR) for ZIP 77420 - 2027

Location: Wharton County, TX | Metro: Houston-The Woodlands-Sugar Land, TX HUD Metro FMR Area

Investment Score for ZIP 77420

B
Monthly Rent (2BR)
$1,120
Median Price (2BR)
$104,544
1% Rule
1.07%
Annual Yield
12.86%

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$940
2 Bedrooms$1,120
3 Bedrooms$1,460
4 Bedrooms$1,890
5 Bedrooms$2,192
6 Bedrooms$2,455
7 Bedrooms$2,651
8 Bedrooms$2,784

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 $1,120 $104,544 1.07% B
3BR $1,460 $190,693 0.77% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
2,236
Median Household Income
$67,697
Housing Units
995
Renter Percentage
13.9%
Occupancy Rate
89.1%
Renter Occupied
123

The market in ZIP 77420, Boling, TX, is characterized by a clear distinction between the Fair Market Rent (FMR) and the actual market rent, suggesting a dynamic environment where rental prices are notably below the benchmark set by FMR. The FMR for the area is $1520 for fiscal year 2024, while the Census ACS reports the market rent at $840. This indicates that renters are paying significantly less than what might be considered a fair market rate, which could point to an oversupply of rental units relative to demand.

The median home value in the area stands at $233,646. While there's no specific data on the percentage of price cuts or days on market (DOM), the lower-than-FMR rental rates suggest that landlords may be offering competitive pricing to attract tenants, implying some level of negotiation in the rental market. However, the absence of price-cut data means we cannot definitively state whether the market is experiencing high turnover or prolonged vacancies.

The 13.9% renter share in Boling provides insight into the long-term housing pressures. With a relatively low percentage of renters, it suggests that homeownership is prevalent, which can stabilize the local economy and reduce the volatility often associated with higher renter populations. However, this also means that any increase in rental demand could lead to upward pressure on rents if the supply remains constant, given the limited pool of renters.

In summary, the market in Boling appears to be one where supply currently outpaces demand, particularly in the rental sector. The dynamics of this market are influenced by the significant gap between FMR and actual market rents, alongside a moderate homeowner population that keeps the housing landscape relatively stable but susceptible to changes in rental demand.

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.