Location: Amarillo, TX | Metro: Amarillo, TX HUD Metro FMR Area
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 | $730 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,390 |
| 4 Bedrooms | $1,570 |
| 5 Bedrooms | $1,821 |
| 6 Bedrooms | $2,040 |
| 7 Bedrooms | $2,203 |
| 8 Bedrooms | $2,313 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,010 | $99,477 | 1.02% | B |
| 3BR | $1,390 | $124,867 | 1.11% | B |
U.S. Census Bureau data (2024)
The real estate market in ZIP 79101, Amarillo, TX, is characterized by a median home value of $109,140, which suggests that the area remains affordable for both buyers and renters. The fact that the percentage of listings being reduced is not available indicates a stable market where neither sellers nor buyers are under significant pressure to adjust their expectations. Similarly, the unavailability of the median days on market (DOM) figure points towards a balanced environment where homes are generally selling within a reasonable timeframe, without indicating either rapid sales or prolonged listings.
In terms of pricing power over the next 12-24 months, the current data implies that landlords and small-portfolio investors can maintain their rental rates close to the Fair Market Rent (FMR) of $950 for ZIP 79101, as forecasted for fiscal year 2024. This is supported by the Census ACS data showing the current market rent at $946, indicating a slight upward trend that aligns with the FMR projection. Landlords can expect to see modest increases in rental income as the market adjusts to the FMR levels.
For long-term investors, the setup in ZIP 79101 signals a market with limited appreciation potential. The stability indicated by the median home value and the absence of significant reductions in listing prices suggest that while the area remains attractive due to its affordability, it does not exhibit strong growth characteristics typical of rapidly appreciating markets. Long-term investors should focus on steady rental yields rather than capital appreciation as the primary driver of returns.
The combination of an affordable median home value and a rental market that closely tracks the FMR suggests that ZIP 79101 is a solid choice for investors seeking consistent cash flow. However, it is important to note that the lack of available data on listing reductions and DOM introduces some uncertainty into the analysis. Investors should continue to monitor local economic indicators and housing trends for any signs of change that could impact the market's stability.
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.