Location: El Paso, TX | Metro: El Paso, 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 | $760 |
| 1 Bedroom | $920 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,480 |
| 4 Bedrooms | $1,820 |
| 5 Bedrooms | $2,111 |
| 6 Bedrooms | $2,364 |
| 7 Bedrooms | $2,553 |
| 8 Bedrooms | $2,681 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,090 | $151,605 | 0.72% | D |
| 3BR | $1,480 | $186,964 | 0.79% | D |
| 4BR | $1,820 | $270,744 | 0.67% | D |
| 5BR | $2,111 | $371,066 | 0.57% | F |
U.S. Census Bureau data (2024)
The ZIP code 79904 in El Paso, TX, is characterized by a significant rental market presence, with 55.8% of its 32,976 residents being renters. This high percentage indicates that the area has a robust demand for rental properties, particularly among those who rely on housing assistance such as Section 8 vouchers. Given the median household income of $41,841, the typical market rent of $1,046 represents approximately 25% of the average monthly income, which is higher than the fair market rent (FMR) of $990 set for FY 2024.
This suggests that tenants in ZIP 79904 may be facing challenges in affording market rates without some form of subsidy. The difference between the market rent and the FMR implies that there could be a substantial number of tenants seeking to use their vouchers to offset the cost of renting. Landlords in this area can expect to encounter a diverse tenant pool, but one that is likely heavily reliant on financial assistance to meet rental costs.
To provide context, let's break down the numbers:
The disparity between the market rent and the FMR points to a potential mismatch between the affordability of housing and the income levels of residents. As such, landlords in 79904 should anticipate a tenant base that includes many individuals and families who require housing subsidies to cover the cost of living. These tenants will typically have a portion of their rent covered by the voucher program, making it feasible for them to reside in the area despite the relatively high rental costs compared to their income levels.
In summary, ZIP 79904 is a renter-heavy area with a strong likelihood of encountering tenants who utilize Section 8 vouchers. Landlords should prepare for a tenant pool that is financially supported by government assistance programs to manage the local rental costs effectively.
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.