Location: Houston-The Woodlands-Sugar Land, TX | Metro: Beaumont-Port Arthur, TX MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,070 |
| 1 Bedroom | $1,090 |
| 2 Bedrooms | $1,310 |
| 3 Bedrooms | $1,750 |
| 4 Bedrooms | $2,170 |
| 5 Bedrooms | $2,517 |
| 6 Bedrooms | $2,819 |
| 7 Bedrooms | $3,045 |
| 8 Bedrooms | $3,197 |
U.S. Census Bureau data (2024)
The rent math in ZIP code 77665 does not work favorably for landlords. The Fair Market Rent (FMR) set at $910 for the fiscal year 2024 is significantly below the market rent of $1,397 as reported by the Census ACS. This discrepancy means that landlords receiving Section 8 vouchers would be renting properties at a rate that is approximately 65% of the actual market value, leading to a substantial financial loss.
Acquisition in ZIP 77665 is relatively affordable, with a median home value of $246,162. However, the lack of data on days-on-market (DOM) and the low price-cut share of 0.3% suggest that homes are not typically discounted heavily upon sale. This indicates that while the median home value is reasonable, securing a property at a lower price due to prolonged listing times or seller concessions is unlikely.
Tenant demand in ZIP 77665 is moderate. With a total population of 7,511, and 27.1% of residents being renters, there are about 2,035 potential rental tenants. Given the size of the population, the number of potential tenants is limited but still significant enough to sustain a modest rental market.
In summary, ZIP 77665 presents a challenging environment for landlords participating in the Section 8 program. The rent math is unfavorable, as the FMR is substantially lower than the market rent. While acquiring a property is affordable based on the median home value, the opportunity to purchase at a discount is minimal. Tenant demand exists but is constrained by the relatively small population. Landlords should carefully consider these factors before investing in this area for Section 8 properties.
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.