Location: Houston-The Woodlands-Sugar Land, TX | Metro: Houston-The Woodlands-Sugar Land, TX HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,220 |
| 1 Bedroom | $1,250 |
| 2 Bedrooms | $1,480 |
| 3 Bedrooms | $1,990 |
| 4 Bedrooms | $2,470 |
| 5 Bedrooms | $2,865 |
| 6 Bedrooms | $3,209 |
| 7 Bedrooms | $3,466 |
| 8 Bedrooms | $3,639 |
U.S. Census Bureau data (2024)
The rent math in ZIP 77571 (La Porte, TX) does not work in favor of low-income renters. The Fair Market Rent (FMR) set at $1380 for fiscal year 2024 is significantly lower than the actual market rent, which stands at $1,725 according to the Zillow Observed Rental Index (ZORI). This disparity means that landlords can expect higher rents than what is considered fair for low-income households under the Section 8 program.
Acquisition in this area is relatively affordable. The median home value is $257,130, indicating that homes are not overpriced compared to other markets. Furthermore, the average Days on Market (DOM) is 43 days, suggesting that homes sell quickly once listed. The low price-cut share of 0.2% implies that sellers are not frequently forced to reduce their asking prices, thus maintaining a stable housing market.
Tenant demand in ZIP 77571 is strong. With a total population of 38,543, approximately 27.9% of residents are renters. This significant portion of the population indicates a healthy demand for rental properties, ensuring that landlords can find tenants for their units.
In conclusion, while the rent math in ZIP 77571 does not favor low-income renters due to the substantial difference between the FMR and the actual market rent, the acquisition costs remain reasonable. The median home value and quick sales indicate a balanced market. Coupled with a robust tenant demand, landlords and small-portfolio investors can find opportunities in La Porte, TX, but should be prepared to navigate the challenges posed by the higher market rents compared to the HUD's FMR guidelines. The strong rental market suggests that properties will likely be occupied, making this area viable for investment despite the rent discrepancies.
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.