Location: Washington County, TX | Metro: Austin County, TX HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,050 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,380 |
| 3 Bedrooms | $1,660 |
| 4 Bedrooms | $1,850 |
| 5 Bedrooms | $2,146 |
| 6 Bedrooms | $2,404 |
| 7 Bedrooms | $2,596 |
| 8 Bedrooms | $2,726 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,050 | $323,343 | 0.32% | F |
| 2BR | $1,380 | $230,770 | 0.6% | F |
| 3BR | $1,660 | $310,170 | 0.54% | F |
| 4BR | $1,850 | $447,398 | 0.41% | F |
| 5BR | $2,146 | $691,758 | 0.31% | F |
U.S. Census Bureau data (2024)
The ZIP code 77833, located in Brenham, TX, within the Washington County, TX metro area, presents a unique opportunity for inclusion in a Section 8 portfolio strategy. This area can best be categorized as an appreciation play, given the specific metrics available.
Firstly, let's consider the financial realities of the area. The Fair Market Rent (FMR) for ZIP 77833 in fiscal year 2024 is set at $960, while the market rent stands at $1,439. This indicates a significant gap where properties can potentially increase their rental rates over time, aligning with the broader market trends. Additionally, the median home value in the area is $332,598, which is relatively low compared to other metropolitan areas in Texas, suggesting a potential for appreciation as the local economy grows and demand for housing increases.
The appreciation play classification is further supported by the ZIP code's 0.3% price-cut share and an average Days on Market (DOM) of 81 days. These figures suggest that properties in ZIP 77833 do not often require substantial price reductions to sell, and they move off the market relatively quickly. This implies a stable and slightly improving market, conducive to long-term investment growth through property value appreciation.
While ZIP 77833 also exhibits characteristics that could make it a diversifier, such as a 34.0% renter share and a median income of $73,388, these factors alone do not outweigh the strong indicators of appreciation. The median income figure suggests a moderate economic base, which supports steady demand for rental properties but does not necessarily imply rapid growth or high-income potential for the landlord.
In conclusion, ZIP 77833 should be considered an appreciation play within a Section 8 portfolio strategy. Its low FMR relative to market rent, coupled with a quick sales cycle and minimal need for price adjustments, positions it well for long-term capital gains. Landlords and small-portfolio investors looking to balance their investments with assets that offer both immediate rental income and future appreciation should give serious consideration to this ZIP code.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.