Section 8 Fair Market Rent (FMR) for ZIP 78224 - 2027

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

Investment Score for ZIP 78224

N/A
Monthly Rent (2BR)
$1,300
Median Price (2BR)
$N/A
1% Rule
0%
Annual Yield
0%

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$990
1 Bedroom$1,080
2 Bedrooms$1,300
3 Bedrooms$1,680
4 Bedrooms$1,950
5 Bedrooms$2,262
6 Bedrooms$2,533
7 Bedrooms$2,736
8 Bedrooms$2,873

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
3BR $1,680 $188,402 0.89% C
4BR $1,950 $244,865 0.8% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
22,232
Median Household Income
$59,891
Housing Units
7,625
Renter Percentage
42.3%
Occupancy Rate
90.2%
Renter Occupied
2,908
The analysis of ZIP 78224 reveals a mix of high yield and moderate stability, making it neither a pure high-yield/low-stability flip-style market nor a steady-cashflow zone. Here's a breakdown:

The $1300 Fair Market Rent (FMR) for ZIP 78224 in fiscal year 2024 contrasts sharply with the $1,715 market rent. Given the $203,622 median home value, this discrepancy suggests a potential for higher rental yields compared to typical markets. Landlords can expect to capitalize on the difference between FMR and market rents, indicating a high-yield environment.

Regarding stability, ZIP 78224 has a 42.3% rental rate, which is relatively high but not excessively so. While there is no data available on the number of days properties sit on the market (DOM), the $59,891 median household income provides some insight into the financial health of tenants. However, this income figure is notably lower than the national average, which could affect tenant reliability and long-term stability.

To further contextualize, let's consider the broader economic picture. According to recent data, the average household income in Houston, TX, where ZIP 78224 is located, is $71,935. This is higher than the income in ZIP 78224, suggesting that while the area might offer good rental yields, it also comes with some risk due to potentially less stable tenant incomes.

In summary, ZIP 78224 represents a market that leans towards high yield due to the substantial gap between FMR and market rents. However, the moderate rental rate and lower-than-average income indicate a level of instability that must be managed carefully. For landlords and small-portfolio investors, this suggests a balance between aggressive rental strategies and tenant screening to mitigate risks.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.