Location: Brazoria County, TX | Metro: Brazoria County, TX HUD Metro FMR Area
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 | $1,040 |
| 1 Bedroom | $1,240 |
| 2 Bedrooms | $1,350 |
| 3 Bedrooms | $1,830 |
| 4 Bedrooms | $2,260 |
| 5 Bedrooms | $2,622 |
| 6 Bedrooms | $2,937 |
| 7 Bedrooms | $3,172 |
| 8 Bedrooms | $3,331 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,350 | $146,546 | 0.92% | C |
| 3BR | $1,830 | $245,548 | 0.75% | D |
| 4BR | $2,260 | $337,160 | 0.67% | D |
| 5BR | $2,622 | $409,431 | 0.64% | D |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 77566, which covers Lake Jackson, TX, in Brazoria County, are straightforward. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2024 is set at $1420. This figure represents the maximum amount that the housing authority will pay towards the rent subsidy for a two-bedroom unit in this specific area.
In comparison, the local market rent, measured by ZORI (Zillow Observed Rental Index), stands at $1,586. This indicates the average rental price for similar units in the same ZIP code. Landlords should note that while the SAFMR is a fixed rate, the actual market conditions can influence the overall rental environment.
A Section 8 voucher works by covering the difference between the tenant's contribution and the total rent. The tenant is required to pay 30% of their adjusted income toward the rent. For example, if a tenant has an adjusted income of $1,000 per month, they would contribute $300 toward the rent. The remaining amount up to the SAFMR of $1420 is then covered by the housing authority, making it $1120 in this case.
In addition to the base rent subsidy, there are utility allowances. These vary but generally provide a set amount to cover utilities such as electricity, water, and gas. Utility allowances do not increase the overall SAFMR; instead, they are separate payments made directly to the tenant to help cover these additional costs.
To illustrate, if a two-bedroom apartment is rented at the SAFMR of $1420, and the tenant contributes $300 based on their income, the housing authority will reimburse the landlord the remaining $1120. If the market rent is higher, say $1,586, the landlord must still accept the SAFMR as the maximum allowable rent subsidy. Thus, the landlord would receive only $1120 from the housing authority plus the $300 from the tenant, totaling $1420, leaving a shortfall of $166 compared to the local market rent.
This shortfall is the typical reimbursement gap landlords might face when renting to a tenant using a Section 8 voucher in ZIP 77566. It's important to factor this into your decision-making process when considering participation in the program. While the SAFMR provides a stable income source, the gap between this rate and the local market rent can impact profitability.
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.