Location: Gonzales County, TX | Metro: Austin-Round Rock-San Marcos, TX MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,330 |
| 1 Bedroom | $1,410 |
| 2 Bedrooms | $1,670 |
| 3 Bedrooms | $2,120 |
| 4 Bedrooms | $2,490 |
| 5 Bedrooms | $2,888 |
| 6 Bedrooms | $3,235 |
| 7 Bedrooms | $3,494 |
| 8 Bedrooms | $3,669 |
U.S. Census Bureau data (2024)
The median income in ZIP code 78959 stands at $60,472, which places significant constraints on the ability of households to afford the market rate rent of $936 per month. This figure represents the Census Bureau's American Community Survey (ACS) data, indicating the typical rental expense residents might face.
In contrast, the Fair Market Rent (FMR) set by the Department of Housing and Urban Development (HUD) for this area in fiscal year 2024 is $1470. This means that the government's standard for voucher payments is significantly higher than what the average resident earns. The discrepancy between the median income and the FMR highlights a substantial affordability gap for renters in this ZIP code.
With 23.8% of the population being renters and a total population of 1,157, landlords must consider the limited financial capacity of potential tenants. Given the higher FMR compared to the actual market rate, landlords might find themselves in a competitive position if they aim to attract tenants who are paying out-of-pocket, as the cost of living exceeds their earnings. On the other hand, those willing to accept Section 8 vouchers will have a broader pool of tenants to choose from, albeit at a lower rental rate than the FMR suggests.
The takeaway for landlords is clear: accepting Section 8 vouchers could stabilize occupancy rates in a challenging market where many residents cannot afford the higher FMR. However, it also means accepting a lower rent payment than the market rate would suggest. Landlords should weigh the benefits of guaranteed payments against the potential for higher cash rents, considering the overall economic environment and tenant demand in ZIP 78959.
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.