Section 8 Fair Market Rent (FMR) for ZIP 78853 - 2027

FY 2027 Fair Market Rent Rates

The ZIP code 78853 in Unknown, TX, presents several risks for landlords considering Section 8 investments. Tenant turnover can be a significant issue when comparing the market rent, which is currently unavailable, to the Fair Market Rent (FMR) of $970 for fiscal year 2026. If the market rent is lower, it may attract tenants who are only interested in the subsidized rental rate, leading to frequent moves once they secure better options. This volatility can strain property management resources.

Vacancy exposure is another concern due to the lack of data on the days-on-market (DOM) for rental properties. A higher DOM indicates a slower rental market, increasing the risk of prolonged vacancies. In an area where the DOM is unknown, landlords must prepare for the possibility of extended vacancy periods, which can impact cash flow negatively.

Deferred maintenance is a critical risk factor, especially when the typical home value and median income figures are not available. Without these metrics, it's challenging to assess the financial capacity of homeowners to maintain their properties adequately. Poorly maintained homes can lead to costly repairs and potential health hazards for tenants, which are issues that landlords should be prepared to address.

Despite these risks, the high renter share in the area, though the exact percentage is not provided, typically correlates with a higher demand for rental vouchers. This demand can stabilize occupancy rates and provide a steady stream of tenants willing to use their vouchers at your property, reducing the overall risk of vacancy.

Verdict: Moderate risk for a first-time Section 8 landlord.

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.