Location: Houston-The Woodlands-Sugar Land, TX | Metro: Houston-The Woodlands-Sugar Land, TX HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,150 |
| 1 Bedroom | $1,170 |
| 2 Bedrooms | $1,410 |
| 3 Bedrooms | $1,900 |
| 4 Bedrooms | $2,350 |
| 5 Bedrooms | $2,726 |
| 6 Bedrooms | $3,053 |
| 7 Bedrooms | $3,297 |
| 8 Bedrooms | $3,462 |
U.S. Census Bureau data (2024)
The HUD Fair Market Rent (FMR) for a two-bedroom apartment in ZIP 77476, which falls under the Houston-The Woodlands-Sugar Land, TX HUD Metro FMR Area, is set at $910 for fiscal year 2024. This figure represents the average rent that voucher tenants can expect to pay for such units.
Comparing this to the market rent data, it becomes evident that voucher tenants will only cash flow at FMR with premium units. For instance, the average market rent for a two-bedroom apartment in the same area was previously recorded at $1,060 in 2022, indicating a significant gap between the FMR and the actual market rates.
The median home value in ZIP 77476 stands at $440,981, which provides a useful context for deriving the rent-to-price ratio. Given the average market rent and the median home value, the rent-to-price ratio suggests that rental income alone may not fully cover the cost of owning a home in this area, especially when considering the lower FMR payments.
Note that the day median DOM (Days on Market) and the percentage of price cuts were not available for this analysis, but these metrics would typically influence the rent-versus-buy dynamics. In their absence, we focus on the direct comparison between FMR and market rents.
The strongest angle for Section 8 investors in ZIP 77476 is likely stability. Despite the cash flow challenges posed by the FMR being below market rates, the consistent rental income provided by the Section 8 program can offer a stable and predictable revenue stream for landlords and small-portfolio investors.
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.