Location: McAllen-Edinburg-Mission, TX | Metro: McAllen-Edinburg-Mission, TX MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,340 |
| 4 Bedrooms | $1,450 |
| 5 Bedrooms | $1,682 |
| 6 Bedrooms | $1,884 |
| 7 Bedrooms | $2,035 |
| 8 Bedrooms | $2,137 |
The Fair Market Rent (FMR) for ZIP code 78540 in fiscal year 2024 is set at $980. This figure represents the payment standard for Section 8 housing vouchers in your area, meaning it's the maximum amount the government will pay towards a tenant's rent. However, it does not dictate the rent you can charge; you set the rent, but it must be reasonable and cannot exceed the FMR.
In ZIP 78540, the local median rent is currently N/A, which makes it difficult to directly compare with the FMR of $980. Nonetheless, the FMR serves as a benchmark to ensure rents are fair and affordable for low-income families who receive Section 8 assistance.
The percentage of renters in your area is N/A%, indicating a significant portion of the population relies on rental housing. This suggests a steady demand for rentals, including those that accept Section 8 vouchers. Landlords should note that while the demand is present, the acquisition cost of properties in ZIP 78540 is N/A, which can influence the profitability of your investment.
Before deciding to accept a Section 8 tenant, verify that your property meets all the necessary inspection criteria. The Housing Quality Standards (HQS) inspection is crucial; it ensures your rental unit is safe and habitable, which is required for participation in the program. This step is non-negotiable and will determine whether you can legally participate in Section 8 with your property.
Remember, the FMR of $980 is the ceiling for government payments, so if your property's market value exceeds this, you might need to consider charging a higher rent to the tenant, which they would cover out-of-pocket. This additional rent must be reasonable and disclosed upfront.
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.