Location: San Antonio-New Braunfels, TX | Metro: San Antonio-New Braunfels, TX HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,090 |
| 1 Bedroom | $1,190 |
| 2 Bedrooms | $1,430 |
| 3 Bedrooms | $1,850 |
| 4 Bedrooms | $2,150 |
| 5 Bedrooms | $2,494 |
| 6 Bedrooms | $2,793 |
| 7 Bedrooms | $3,016 |
| 8 Bedrooms | $3,167 |
The economics of Section 8 housing in ZIP code 78288, located in the San Antonio-New Braunfels County area, follow a specific formula tied to the SAFMR (Small Area Fair Market Rent). For a two-bedroom apartment, the SAFMR for fiscal year 2024 is set at $1450. This figure is crucial because it represents the maximum amount that a Section 8 Housing Choice Voucher program will pay towards rent for a unit of this size in this specific ZIP code.
The SAFMR is calculated based on local rental market conditions, ensuring that it reflects the actual costs of renting in the area. However, the local market rent data is currently unavailable, which can make it challenging to directly compare the SAFMR to the average rents being charged in ZIP 78288.
A landlord participating in the Section 8 program should understand that the total rent paid by the tenant and the government does not necessarily equal the SAFMR. Here’s how it works:
The tenant is required to pay 30% of their adjusted income towards rent. This is the tenant portion.
The government then pays the difference between the tenant's contribution and the SAFMR, up to the limit of $1450 for a two-bedroom apartment in ZIP 78288.
In addition to the base rent, there are utility allowances. These vary but generally cover electricity, gas, water, and sometimes other utilities. The allowance amount is subtracted from the tenant’s 30% contribution before calculating the government subsidy.
To illustrate, if a tenant’s adjusted income is $1000 per month, they would contribute $300 (30% of $1000) towards rent. If the utility allowance is $150, the net tenant contribution would be $150 ($300 - $150). Therefore, the government would pay $1300 ($1450 SAFMR - $150 net tenant contribution).
The typical reimbursement gap or surplus occurs when comparing the total rent paid by the tenant and the government to the market rent. Since the local market rent is not available, we cannot provide a specific dollar figure for the gap or surplus. However, if the market rent is higher than the SAFMR, landlords will face a shortfall. Conversely, if the market rent is lower, landlords might see a surplus. It is essential for landlords to monitor the local rental market trends and adjust their expectations accordingly.
Data Sources: FMR data from HUD (2027).
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.