Section 8 Fair Market Rent (FMR) for ZIP 78148 - 2027

Location: San Antonio-New Braunfels, TX | Metro: San Antonio-New Braunfels, TX HUD Metro FMR Area

Investment Score for ZIP 78148

Monthly Rent (2BR)

$1,390

Median Price (2BR)

$176,875

1% Rule

0.79%

Annual Yield

9.43%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,060
1 Bedroom	$1,150
2 Bedrooms	$1,390
3 Bedrooms	$1,800
4 Bedrooms	$2,090
5 Bedrooms	$2,424
6 Bedrooms	$2,715
7 Bedrooms	$2,932
8 Bedrooms	$3,079

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$1,390	$176,875	0.79%	D
3BR	$1,800	$240,552	0.75%	D
4BR	$2,090	$297,830	0.7%	D
5BR	$2,424	$341,754	0.71%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

22,187

Median Household Income

$74,783

Housing Units

9,041

Renter Percentage

47.4%

Occupancy Rate

97.0%

Renter Occupied

4,155

To determine if you should buy in ZIP 78148 (Universal City, TX) for Section 8 investment, follow this decision tree based on the provided data:

1) Does the Fair Market Rent (FMR) of $1,420 cover the debt service on a property valued at $265,114?

No: The FMR of $1,420 does not sufficiently cover the debt service on a property worth $265,114. Debt service typically includes mortgage payments, property taxes, insurance, and maintenance costs. With an average monthly rent below these expenses, it would not be financially viable to purchase a property in this area for Section 8.
Yes: Proceed to the next question.

2) Is the market rent ($1,114 ZORI) above, at, or below the FMR?

Below FMR: The market rent of $1,114 is below the FMR of $1,420. This suggests that while Section 8 tenants can pay up to $1,420, the general market rent is lower. Landlords may need to consider whether they can attract non-Section 8 tenants willing to pay closer to the FMR. If not, the investment may yield lower returns compared to properties where market rent meets or exceeds the FMR.
At or Above FMR: Proceed to the next question.

3) Are 47.4% of residents renters, and does a 41-day Days on Market (DOM) indicate sufficient demand?

It Depends: In ZIP 78148, 47.4% of residents are renters, which is a moderate percentage. A 41-day DOM indicates that properties take about 41 days to sell once listed. This is relatively quick but could vary depending on the season and other factors. If the DOM is consistently low throughout the year, there is likely sufficient demand. However, if there are periods when DOM significantly increases, it may suggest less consistent demand.

In conclusion, for a property valued at $265,114, the FMR of $1,420 is unlikely to cover all debt service costs, making it a poor choice for Section 8 investment unless other income sources are considered. The market rent being below the FMR further diminishes the attractiveness of the investment. Finally, the rental population and DOM suggest moderate demand, but this must be weighed against the financial viability determined in the first two steps.

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.