Location: Austin-Round Rock-San Marcos, TX | Metro: Austin-Round Rock-San Marcos, TX MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,470 |
| 1 Bedroom | $1,560 |
| 2 Bedrooms | $1,850 |
| 3 Bedrooms | $2,330 |
| 4 Bedrooms | $2,740 |
| 5 Bedrooms | $3,178 |
| 6 Bedrooms | $3,559 |
| 7 Bedrooms | $3,844 |
| 8 Bedrooms | $4,036 |
The ZIP code 78720 is located in Austin, Texas, and represents a unique neighborhood within the city. With a median age of 33.5 years, it suggests a vibrant community where young adults and families thrive. The median household income in this area is $78,636, indicating a middle-class neighborhood. However, the exact population and percentage of renters are not available at this time.
The median home value in ZIP 78720 is $228,900, which is lower than the Fair Market Rent (FMR) of $1950 set for the fiscal year 2024. This discrepancy highlights the potential for higher rental yields compared to typical market rents, though the precise figure for market rent is not specified. The FMR is established by HUD and serves as a benchmark for rental costs in the area, making it particularly relevant for Section 8 investors.
Given the characteristics of this neighborhood, it would likely appeal to both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the lower median home value compared to the FMR indicates that properties may be eligible for Section 8 without requiring significant renovations. For value-add buyers, there might be opportunities to increase property values through improvements, given the median income level and the potential for rising demand due to the area's young and active population.
To conclude, ZIP 78720 offers a blend of affordability and potential for investment, making it a viable option for real estate investors interested in Section 8 properties. Whether focusing on passive income or active management, the neighborhood presents opportunities worth considering.
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.