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 | $810 |
| 1 Bedroom | $980 |
| 2 Bedrooms | $1,160 |
| 3 Bedrooms | $1,580 |
| 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 | $1,160 | $161,331 | 0.72% | D |
| 3BR | $1,580 | $196,474 | 0.8% | C |
| 4BR | $1,940 | $221,776 | 0.87% | C |
| 5BR | $2,250 | $248,612 | 0.91% | C |
U.S. Census Bureau data (2024)
Located in Northeast El Paso, ZIP code 79924 is a primarily residential hub characterized by established single-family neighborhoods and convenient access to local commerce. The area offers a suburban feel with proximity to major shopping centers along Dyer Street and is notably situated near Fort Bliss, one of the region’s largest economic drivers and employers. This connection to the military installation provides a steady influx of personnel and supports local service businesses, contributing to a stable community atmosphere.
From a financial perspective, investors must navigate a notable gap between HUD subsidies and private market rates. The HUD Fair Market Rent (FMR) for a 2-bedroom unit in this ZIP is $1,150, yet current market rents (Zillow ZORI) reach $1,444, leaving a shortfall of $294 if relying solely on the voucher. Median home values sit at $192,928, with a specific 2BR median sales price of $160,015, offering an accessible entry point compared to national averages. However, properties move at a moderate pace, with a median of 47 days on market, suggesting neither a frenzy nor a stagnation in sales activity.
The tenant pool is substantial, with 38.5% of households renting and a median household income of $56,976. This income level suggests that while many working families can afford standard rents, a significant segment may qualify for housing assistance, creating consistent demand for voucher-accepting units. The area’s appeal is bolstered by access to quality schools within the Ysleta Independent School District and major roadways, making it a practical choice for families seeking stability and connectivity.
The Section 8 verdict for 79924 leans toward stability and long-term holding rather than immediate maximum cash flow. While the $294 gap between the $1,150 voucher and $1,444 market rent is a headwind, the low cost of entry—highlighted by the $160,015 median 2BR price—allows for reasonable debt coverage. Investors should view this area as a defensive play, leveraging the military-adjacent demographic and solid school districts to maintain occupancy rather than chasing premium market rents.
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.