Location: Houston-The Woodlands-Sugar Land, TX | Metro: Houston-The Woodlands-Sugar Land, TX HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,060 |
| 1 Bedroom | $1,090 |
| 2 Bedrooms | $1,290 |
| 3 Bedrooms | $1,740 |
| 4 Bedrooms | $2,160 |
| 5 Bedrooms | $2,506 |
| 6 Bedrooms | $2,807 |
| 7 Bedrooms | $3,032 |
| 8 Bedrooms | $3,184 |
U.S. Census Bureau data (2024)
44.6% of residents in ZIP code 77587 in South Houston, TX, are renters, reflecting a significant portion of the housing market dedicated to rental properties. The $192,416 median home value suggests a moderate property price point in the area, which can be attractive for both investors and homeowners. The $1,212 market rent, as reported by the Census ACS, indicates the average rent charged for apartments and houses in the region. This figure is close to the $1170 Fair Market Rent (FMR) set for zip code 77587 for fiscal year 2024, making it an important benchmark for landlords setting their rents. The $53,497 median income highlights the economic status of the area's inhabitants, which is crucial for understanding the potential demand for rental properties at various price points.
The 0.3% price-cut share reveals that very few listings in this area require price adjustments, suggesting a stable and competitive market where properties are generally valued correctly from the outset. While the N/A-day Days on Market (DOM) indicates incomplete data for how long properties typically stay on the market before being rented, the low price-cut share implies that properties are likely to be rented quickly once listed at a fair price.
Investors considering Section 8 properties in ZIP 77587 should note that the $1170 FMR aligns closely with the $1,212 market rent, providing a reliable estimate for rental income. The 44.6% renter share also supports the viability of rental investments, including those through the Section 8 program. However, the median income of $53,497 must be considered when assessing the financial stability of potential tenants. Given these factors, the Section 8 program could offer a steady stream of rental income for landlords willing to participate, with the added benefit of reduced vacancy rates and a consistent tenant pool.
Verdict: ZIP 77587 presents a favorable environment for Section 8 investments, with a competitive rental market and a substantial renter population.
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.