Location: Jackson County, TX | Metro: Jackson County, TX
| Unit Size | Monthly FMR |
|---|---|
| Studio | $840 |
| 1 Bedroom | $920 |
| 2 Bedrooms | $1,100 |
| 3 Bedrooms | $1,370 |
| 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 analysis of the Section 8 cap rate for ZIP code 77961 reveals some limitations due to missing data points, particularly regarding the median home value and market rent. However, we can still provide an overview based on the available information.
The Fair Market Rent (FMR) for a 2-bedroom apartment in ZIP 77961, as determined by HUD for fiscal year 2026, is set at $1,040 per month. This annualizes to $12,480 per year. Given that the median home value is not available, we must rely on other factors to infer the potential gross yield.
With a 0.0% renter density, it's clear that the majority of housing units in ZIP 77961 are owner-occupied, making it less likely that many properties would be leased under the Section 8 program. The days on market (DOM) being listed as N/A suggests that there might not be enough transactional data to determine typical rental durations, further complicating the analysis.
To calculate the gross yield, we need the median home value. Without this figure, we cannot compute the precise gross yield. However, if we hypothetically assume a median home value, say $250,000 for illustrative purposes, the gross yield would be 4.99%. This calculation is purely speculative and should not be taken as an accurate representation of the actual market conditions in ZIP 77961.
In contrast, when considering the market rent, the lack of data means we cannot perform a direct comparison. However, the absence of market rent figures implies that there is either insufficient data or that the local rental market does not significantly overlap with the Section 8 program, given the low renter density.
The implied gross yield from the Section 8 FMR alone is not indicative of a strong investment opportunity, especially without a clear understanding of the median home value. Landlords and small-portfolio investors should proceed with caution, as the current data suggest a limited demand for Section 8 rentals in ZIP 77961.
Given the 0.0% renter density and the lack of market rent data, it is more realistic to consider the Section 8 FMR scenario as the primary benchmark for potential income. The actual gross yield could vary widely depending on the true median home value, which would need to be researched independently.
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.