Location: San Antonio-New Braunfels, TX | Metro: San Antonio-New Braunfels, TX HUD Metro FMR Area
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 | $1,160 |
| 1 Bedroom | $1,260 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $1,970 |
| 4 Bedrooms | $2,280 |
| 5 Bedrooms | $2,645 |
| 6 Bedrooms | $2,962 |
| 7 Bedrooms | $3,199 |
| 8 Bedrooms | $3,359 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,520 | $129,839 | 1.17% | B |
| 3BR | $1,970 | $204,398 | 0.96% | C |
| 4BR | $2,280 | $255,818 | 0.89% | C |
| 5BR | $2,645 | $323,368 | 0.82% | C |
U.S. Census Bureau data (2024)
ZIP code 78239, located in San Antonio, TX, falls within the broader San Antonio-New Braunfels, TX HUD Metro FMR Area. The Fair Market Rent (FMR) for ZIP 78239 in fiscal year 2024 is set at $1,600, which is notably higher than the market rent figure of $1,451. This suggests that the area is somewhat overvalued compared to the actual market conditions, potentially due to government-set standards being higher than what the market currently dictates.
The median home value in ZIP 78239 is $216,665, which is lower than the average home values in many other parts of the San Antonio-New Braunfels metro area. Given the relatively low home values and the above-market FMR, ZIP 78239 could be considered a value pocket for landlords looking to attract Section 8 tenants. The 26.2% renter share is also indicative of a neighborhood where a significant portion of residents rely on rental housing, further supporting its appeal to those interested in Section 8 investments.
To contextualize these figures, it's important to compare them with typical metrics found across the San Antonio-New Braunfels metro. While the exact average FMR, market rent, and home values for the entire metro area are not provided, we can infer that ZIP 78239 is likely below the metro-wide averages in terms of home values and possibly market rents. This makes it an attractive location for small-portfolio investors who seek to capitalize on areas with higher tenant demand and lower property costs.
The divergence between the high FMR and the below-metro average home values, coupled with a substantial renter share, signals that ZIP 78239 might indeed be a sweet spot for Section 8 investments. Landlords can benefit from the higher subsidy payments while owning properties that are more affordable than the metro average.
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.