Location: Laredo, TX | Metro: Laredo, TX MSA
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 | $970 |
| 1 Bedroom | $970 |
| 2 Bedrooms | $1,180 |
| 3 Bedrooms | $1,540 |
| 4 Bedrooms | $1,590 |
| 5 Bedrooms | $1,844 |
| 6 Bedrooms | $2,065 |
| 7 Bedrooms | $2,230 |
| 8 Bedrooms | $2,342 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,540 | $209,843 | 0.73% | D |
U.S. Census Bureau data (2024)
ZIP code 78046 covers a substantial portion of Laredo, Texas, characterized by suburban expansion and a strong cross-border economy. As a major inland port, Laredo drives regional employment through logistics and trade. The area features established neighborhoods like Riverhill and Las Americas, which offer a blend of medium-sized real estate and family-friendly amenities such as Santo Nino Park and proximity to A-rated schools, attracting a steady base of working-class renters employed in trade, transportation, and local government sectors.
Financially, the ZIP presents a compelling case for voucher acceptance. The FY2026 Fair Market Rent for a 2-bedroom unit is $1,170, while the Census ACS market rent sits at $1,086. This creates a positive cash-flow gap of $84 per month for landlords utilizing Housing Choice Vouchers. With a median home value of $192,570 and a median of 119 days on market, acquisition costs are moderate, though investors should expect a longer turnover周期 compared to hotter national markets.
The tenant pool is anchored by a 20.6% renter share and a median household income of $55,826. This income level is sufficient to support local rents, yet the demand for subsidized housing remains robust as families seek affordability in neighborhoods with strong educational infrastructure. The presence of top-rated schools and convenient retail hubs like H-E-B enhances tenant retention, making the area attractive for long-term Section 8 leaseups.
The Section 8 verdict for 78046 leans toward stability and cashflow. The explicit $84 premium above market rent for 2-bedroom units provides a reliable income buffer in a market where sales velocity is slower. Investors should target the suburban neighborhoods where the combination of school quality and amenities supports voucher holder retention, ensuring consistent occupancy despite the 119-day average listing time for sales.
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.