Section 8 Fair Market Rent (FMR) for ZIP 77471 - 2027

Investment Score for ZIP 77471

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	$1,190
1 Bedroom	$1,220
2 Bedrooms	$1,450
3 Bedrooms	$1,950
4 Bedrooms	$2,420
5 Bedrooms	$2,807
6 Bedrooms	$3,144
7 Bedrooms	$3,396
8 Bedrooms	$3,566

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$1,220	$137,137	0.89%	C
2BR	$1,450	$169,513	0.86%	C
3BR	$1,950	$251,797	0.77%	D
4BR	$2,420	$329,647	0.73%	D
5BR	$2,807	$386,283	0.73%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 77471 (Rosenberg, TX) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 77471 is set by HUD for 2026. For a two-bedroom unit, the FMR is $1,530. This figure represents 25.1% of the median household income in Rosenberg, which stands at $73,186. However, the actual rental rates in the area can be significantly higher. The Zillow median price for a two-bedroom home in this ZIP code is $167,762, indicating that the price-to-FMR ratio is approximately 9.1x. This suggests that actual rents could be much higher than the FMR, creating a constraint for Section 8 voucher holders who are only able to pay up to the FMR rate. #### Affordability & Renter Profile With a population of 45,325 and a renter percentage of 41.7%, Rosenberg has a significant number of renters. Given that the occupancy rate is 93.4%, it indicates a relatively tight rental market where demand is high and supply is limited. The median household income of $73,186 provides some context on the economic status of residents. However, the fact that 25.1% of this income is allocated towards housing costs suggests that many renters, particularly those relying on Section 8 vouchers, face affordability challenges. The high price-to-FMR ratio further underscores the difficulty in finding affordable housing options for low-income households. #### Investor Angle From an investor perspective, the ZIP code 77471 presents both opportunities and challenges. The FMR for a two-bedroom unit is $1,530, which is the maximum amount that a Section 8 voucher holder can pay. To determine if this ZIP code is cash-flow positive for investors, we need to consider the actual rental rates versus the FMR. If actual rents are significantly higher than the FMR, then landlords participating in the Section 8 program might find themselves facing lower-than-market rental incomes, which could affect profitability. Given the high price-to-FMR ratio of 9.1x, it is likely that actual rental rates exceed the FMR. This means that landlords who accept Section 8 vouchers will receive less rent compared to what they could get from market-rate tenants. Therefore, the investment grade for Section 8 properties in this ZIP code would be considered moderate to low due to the potential for lower cash flow. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high price-to-FMR ratio, investors should focus on smaller units such as one-bedroom apartments. The FMR for a one-bedroom unit is $1,290, which is still a substantial portion of the median income ($17.6%). This strategy could help mitigate the risk of lower rental income while still providing affordable housing options for voucher holders. 2. **Consider Location-Specific Opportunities**: While the overall market may be challenging for Section 8-focused investments, certain neighborhoods within Rosenberg might offer better opportunities. Investors should look for areas with slightly lower actual rental rates or higher concentrations of low-income households, which could increase the likelihood of finding tenants who rely on Section 8 vouchers. 3. **Evaluate Property Management Costs**: Due to the lower rental income from Section 8 vouchers, it is crucial to evaluate property management costs. Investors should seek properties that require minimal maintenance or have efficient management structures to maximize cash flow. #### Bottom Line Based on the analysis, the recommendation for Section 8-focused investors in ZIP code 77471 is to **Skip**. The high price-to-FMR ratio indicates that actual rental rates are well above the FMR, leading to potentially lower cash flows when accepting Section 8 vouchers. Additionally, the tight rental market and high occupancy rate suggest that there are ample opportunities for market-rate rentals, making Section 8 properties less attractive from an investment standpoint. Investors should consider other ZIP codes with more favorable price-to-FMR ratios or explore alternative investment strategies within Rosenberg that target market-rate tenants.

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.