Location: McAllen-Edinburg-Mission, TX | Metro: McAllen-Edinburg-Mission, TX MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,310 |
| 4 Bedrooms | $1,440 |
| 5 Bedrooms | $1,670 |
| 6 Bedrooms | $1,870 |
| 7 Bedrooms | $2,020 |
| 8 Bedrooms | $2,121 |
U.S. Census Bureau data (2024)
The ZIP code 78565 presents several challenges for potential Section 8 landlords. Tenant turnover could be higher than anticipated due to the significant gap between the market rent and the Fair Market Rent (FMR) of $910 for FY 2024. This disparity suggests that tenants might struggle to find other affordable housing options, leading to frequent moves.
Vacancy exposure is another concern, as the days on market (DOM) for rental properties in this area is not available. Without this data, it's difficult to predict how long a property might remain vacant between tenants. Additionally, the lack of information on the typical home value and median income in 78565 makes it hard to assess the financial health of potential tenants and the overall maintenance costs they can afford.
Despite these risks, the ZIP code has a 0.0% renter share, which typically indicates a high concentration of renters. In most cases, a high renter density translates into greater demand for housing vouchers, potentially stabilizing occupancy rates and reducing vacancy exposure. However, the absence of specific data on market rents and median incomes complicates this analysis.
In summary, the primary risks for a first-time Section 8 landlord in ZIP 78565 include uncertain tenant turnover, unknown vacancy exposure, and unclear deferred maintenance costs. The high renter density does offer some mitigation, but the lack of detailed local data raises significant concerns.
Verdict: Moderate risk for a first-time Section 8 landlord.
Data Sources: FMR data from HUD (2027). 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.