Location: Zavala County, TX | Metro: Dimmit County, TX
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 | $790 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,340 |
| 4 Bedrooms | $1,500 |
| 5 Bedrooms | $1,740 |
| 6 Bedrooms | $1,949 |
| 7 Bedrooms | $2,105 |
| 8 Bedrooms | $2,210 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,340 | $214,687 | 0.62% | D |
U.S. Census Bureau data (2024)
ZIP code 78834 in Zavala County, TX, has a Fair Market Rent (FMR) of $1,010 for the fiscal year 2026. This figure is higher than the market rent of $845, indicating that while government standards set a higher benchmark, actual rental rates in the area are lower. The home value in ZIP 78834 stands at $144,815, which is below the average home value typically seen across Zavala County, TX.
The renter share in ZIP 78834 is 32.8%, suggesting a significant portion of residents are renters rather than homeowners. This combination of a below-average home value and a relatively high renter share points towards a potential sweet spot for Section 8 investments. Landlords can benefit from the higher FMR set by the government, which exceeds current market rents, while serving a substantial number of tenants who qualify for assistance.
Compared to other ZIP codes in Zavala County, TX, ZIP 78834 appears to be a value pocket. This classification is based on its below-average home values and the presence of a notable number of renters who might rely on Section 8 vouchers. Such characteristics make it attractive for investors looking to maximize their returns through rental income, especially those interested in properties eligible for Section 8 tenancy.
Investors should note that the FMR is intended to reflect the 40th percentile of gross rents and does not necessarily indicate the most common rent levels in the area. However, the gap between the FMR and the actual market rent suggests that there could be opportunities to increase rents without significantly exceeding the affordability threshold set by the government.
In summary, ZIP 78834 represents a value pocket within the Zavala County, TX, metro. Its below-average home values coupled with a high renter share make it an ideal location for Section 8 investments, potentially offering above-average rental yields relative to property costs.
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.