Location: Tyler County, TX | Metro: Tyler County, TX
| Unit Size | Monthly FMR |
|---|---|
| Studio | $850 |
| 1 Bedroom | $860 |
| 2 Bedrooms | $1,120 |
| 3 Bedrooms | $1,330 |
| 4 Bedrooms | $1,610 |
| 5 Bedrooms | $1,868 |
| 6 Bedrooms | $2,092 |
| 7 Bedrooms | $2,259 |
| 8 Bedrooms | $2,372 |
U.S. Census Bureau data (2024)
The ZIP code 77616 presents several challenges for potential Section 8 landlords. Firstly, tenant turnover can be a significant issue. The Fair Market Rent (FMR) for the area, set at $1,040 for FY 2026, does not provide a complete picture due to missing market rent data. This discrepancy can lead to higher turnover rates if tenants find better deals elsewhere.
Vacancy exposure is another concern. With no data available on the days on market (DOM), it's difficult to predict how long properties might remain vacant. Vacancies mean lost income, which can significantly impact profitability. Additionally, the median home value data is unavailable, making it hard to assess the overall property value trends in the area.
Deferred maintenance is a critical factor that could affect investment returns. The median income in ZIP 77616 is $71,833, which suggests that residents might struggle to afford substantial home improvements. Landlords will need to be prepared to invest in maintaining their properties to a standard that meets Section 8 requirements.
Despite these risks, there are positive factors that mitigate some of the concerns. The renter share in the area is 15.1%, indicating a high concentration of renters. This typically translates into a robust demand for rental vouchers, which can help stabilize occupancy rates and ensure a steady stream of tenants.
Verdict: Moderate risk for a first-time Section 8 landlord in ZIP 77616. While there are significant challenges related to tenant turnover and deferred maintenance, the high renter density offers a buffer against prolonged vacancies.
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.