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 | $920 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,280 |
| 3 Bedrooms | $1,750 |
| 4 Bedrooms | $1,940 |
| 5 Bedrooms | $2,250 |
| 6 Bedrooms | $2,520 |
| 7 Bedrooms | $2,722 |
| 8 Bedrooms | $2,858 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,280 | $247,257 | 0.52% | F |
| 3BR | $1,750 | $320,991 | 0.55% | F |
| 4BR | $1,940 | $473,358 | 0.41% | F |
| 5BR | $2,250 | $706,485 | 0.32% | F |
U.S. Census Bureau data (2024)
The ZIP code 79119 in Amarillo, TX presents an interesting balance between yield and stability. With a Fair Market Rent (FMR) of $1,270 for the fiscal year 2024, it is significantly lower than the market rent of $1,795, indicating a potential opportunity for landlords to capitalize on the difference. This gap suggests that properties in this area could generate higher yields compared to those priced at the market rate. The median home value stands at $380,488, which provides a substantial investment base.
On the stability axis, 79119 shows mixed signals. The percentage of renters is 32.6%, which is not exceptionally high but still notable. The days on market (DOM) for rentals is 36, indicating a relatively quick turnover rate. However, the average income of $114,432 is quite robust, suggesting that tenants have the financial capability to meet rental obligations. This income level supports the potential for stable cash flows, despite the moderate rental rate penetration.
Based on these figures, 79119 can be classified as a steady-cashflow zone. The significant disparity between the FMR and market rent ($1,270 vs $1,795) allows for higher yields, while the strong average income and moderate percentage of renters support stable cash flows. Landlords should expect a good return on investment without the volatility associated with high-renter penetration areas. Small-portfolio investors looking for a blend of yield and stability would find this ZIP code favorable, given the financial metrics involved.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.