Section 8 Fair Market Rent (FMR) for ZIP 77640 - 2027

Location: Beaumont-Port Arthur, TX | Metro: Beaumont-Port Arthur, TX MSA

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,090
1 Bedroom	$1,090
2 Bedrooms	$1,350
3 Bedrooms	$1,760
4 Bedrooms	$2,150
5 Bedrooms	$2,494
6 Bedrooms	$2,793
7 Bedrooms	$3,016
8 Bedrooms	$3,167

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

17,167

Median Household Income

$50,973

Housing Units

9,003

Renter Percentage

32.8%

Occupancy Rate

79.7%

Renter Occupied

2,353

Housing Authorities Serving ZIP 77640

Housing Authority of Port Arthur (Port Arthur, TX) - 3,081 Section 8 vouchers
Housing Authority of the City of Beaumont (Beaumont, TX) - 2,148 Section 8 vouchers

A landlord considering purchasing a property in ZIP code 77640 for Section 8 purposes should follow this decision tree:

1) Does the Fair Market Rent (FMR) of $1190 cover the debt service on a $122,656 property?

No: The FMR does not clear the debt service. For a property valued at $122,656, typical financing would result in a monthly mortgage payment that exceeds the $1190 FMR. This makes the investment unprofitable under Section 8 without additional subsidies or rent supplements.
Yes: Proceed to the next question.

2) How does the market rent of $1,254 compare to the FMR?

Market rent is above FMR: At $1,254, the market rent exceeds the FMR, indicating that landlords could potentially earn higher rents outside of Section 8. However, this also suggests that Section 8 tenants might struggle to afford market rates, which could impact occupancy and tenant turnover.
Market rent is at or below FMR: Proceed to the next question.

3) Is there sufficient demand given 32.8% of residents are renters and the days on market (DOM) is not available?

It depends: With 32.8% of residents renting, there is a moderate level of rental demand. However, the lack of DOM data makes it challenging to assess how quickly properties can be leased. If the DOM is typically low, it indicates strong demand and faster leasing times, which is favorable. Conversely, high DOM values suggest weaker demand and slower leasing, making the investment less attractive.

In conclusion, based on the provided data, a landlord should only consider purchasing a property in ZIP 77640 if they can secure financing where the debt service is covered by the FMR of $1190. Additionally, the absence of DOM data means that further investigation into local rental market dynamics is necessary before making a final decision.

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.