Location: McMullen County, TX | Metro: Live Oak County, TX
| Unit Size | Monthly FMR |
|---|---|
| Studio | $840 |
| 1 Bedroom | $860 |
| 2 Bedrooms | $1,100 |
| 3 Bedrooms | $1,330 |
| 4 Bedrooms | $1,600 |
| 5 Bedrooms | $1,856 |
| 6 Bedrooms | $2,079 |
| 7 Bedrooms | $2,245 |
| 8 Bedrooms | $2,357 |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 78075 are governed by the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment, which is set at $1,040 per month for fiscal year 2026. This figure is specific to this ZIP code, meaning it reflects the rental rates considered fair within this particular area.
To understand what a landlord can expect from a Section 8 voucher, it's essential to break down the components involved. A voucher holder is required to contribute a portion of their income towards rent. Specifically, they must pay 30% of their adjusted monthly income toward the rent. Additionally, there are utility allowances that vary based on the size of the unit and location, but these do not directly affect the landlord's reimbursement.
The actual payment a landlord receives from a Section 8 voucher is the lesser of the SAFMR ($1,040 for a 2BR in ZIP 78075) or the gross rent amount specified in the lease, minus the tenant's contribution. For instance, if a tenant's income is $1,500 per month, their contribution would be $450 (30% of $1,500). Thus, the landlord would receive $590 from the housing authority to cover the remaining rent, bringing the total monthly rent received to $1,040.
In ZIP 78075, the local market rent information is currently unavailable. However, assuming the market rent is higher than the SAFMR, landlords will likely face a reimbursement gap. This gap represents the difference between the market rent and the maximum amount covered by the Section 8 program, which is $1,040 for a two-bedroom unit.
Given the lack of local market rent data, we cannot provide an exact surplus or gap figure. However, if the local market rent exceeds the SAFMR, landlords should prepare for a shortfall when renting to Section 8 tenants. Conversely, if the market rent is below the SAFMR, landlords might benefit from the full reimbursement without any need to reduce their asking price.
Landlords should also consider that the SAFMR is updated annually and can change based on economic conditions within the ZIP code. Therefore, staying informed about future changes in the SAFMR is crucial for financial planning.
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.