One thing first, because it matters for every number below. These are HUD Small Area FMRs (SAFMRs), the ZIP-level figures. They are not the metro-wide FMR. We compared FY2026 to FY2027 for the 13 ZIPs on our Wholesale Pulse pages: six in Atlanta, four in Houston, three in Milwaukee. Both years come straight from HUD's own SAFMR spreadsheets. Nothing is estimated or blended.
HUD files these ZIPs under three areas: Atlanta-Sandy Springs-Roswell, GA HUD Metro FMR Area; Houston-The Woodlands-Sugar Land, TX HUD Metro FMR Area; and Milwaukee-Waukesha, WI MSA.
The 3BR numbers, ZIP by ZIP
3BR is the usual rental-buyer house, so start here.
| Metro | ZIP | FY2026 3BR SAFMR | FY2027 3BR SAFMR | Change $ | Change % |
|---|---|---|---|---|---|
| Atlanta, GA | 30310 | $1,730 | $1,560 | -$170 | -9.8% |
| Atlanta, GA | 30311 | $1,640 | $1,600 | -$40 | -2.4% |
| Atlanta, GA | 30314 | $1,530 | $1,440 | -$90 | -5.9% |
| Atlanta, GA | 30315 | $1,470 | $1,430 | -$40 | -2.7% |
| Atlanta, GA | 30318 | $2,460 | $2,220 | -$240 | -9.8% |
| Atlanta, GA | 30331 | $1,920 | $1,730 | -$190 | -9.9% |
| Houston, TX | 77016 | $1,780 | $1,710 | -$70 | -3.9% |
| Houston, TX | 77033 | $1,900 | $1,860 | -$40 | -2.1% |
| Houston, TX | 77036 | $1,860 | $1,770 | -$90 | -4.8% |
| Houston, TX | 77072 | $1,940 | $1,860 | -$80 | -4.1% |
| Milwaukee, WI | 53206 | $1,410 | $1,490 | +$80 | +5.7% |
| Milwaukee, WI | 53208 | $1,500 | $1,490 | -$10 | -0.7% |
| Milwaukee, WI | 53210 | $1,490 | $1,490 | $0 | 0.0% |
Every bedroom size
Same 13 ZIPs, studio through 4BR. Each cell reads FY2026, then FY2027, then the change.
| Metro | ZIP | 0BR | 1BR | 2BR | 3BR | 4BR |
|---|---|---|---|---|---|---|
| Atlanta | 30310 | $1,250 / $1,160 (-$90, -7.2%) | $1,300 / $1,200 (-$100, -7.7%) | $1,440 / $1,310 (-$130, -9.0%) | $1,730 / $1,560 (-$170, -9.8%) | $2,080 / $1,880 (-$200, -9.6%) |
| Atlanta | 30311 | $1,190 / $1,180 (-$10, -0.8%) | $1,250 / $1,230 (-$20, -1.6%) | $1,370 / $1,340 (-$30, -2.2%) | $1,640 / $1,600 (-$40, -2.4%) | $1,960 / $1,900 (-$60, -3.1%) |
| Atlanta | 30314 | $1,120 / $1,070 (-$50, -4.5%) | $1,170 / $1,110 (-$60, -5.1%) | $1,280 / $1,210 (-$70, -5.5%) | $1,530 / $1,440 (-$90, -5.9%) | $1,830 / $1,710 (-$120, -6.6%) |
| Atlanta | 30315 | $1,060 / $1,060 ($0, 0.0%) | $1,110 / $1,100 (-$10, -0.9%) | $1,220 / $1,200 (-$20, -1.6%) | $1,470 / $1,430 (-$40, -2.7%) | $1,770 / $1,700 (-$70, -4.0%) |
| Atlanta | 30318 | $1,790 / $1,630 (-$160, -8.9%) | $1,870 / $1,700 (-$170, -9.1%) | $2,050 / $1,850 (-$200, -9.8%) | $2,460 / $2,220 (-$240, -9.8%) | $2,930 / $2,640 (-$290, -9.9%) |
| Atlanta | 30331 | $1,390 / $1,270 (-$120, -8.6%) | $1,460 / $1,320 (-$140, -9.6%) | $1,600 / $1,440 (-$160, -10.0%) | $1,920 / $1,730 (-$190, -9.9%) | $2,290 / $2,070 (-$220, -9.6%) |
| Houston | 77016 | $1,070 / $1,050 (-$20, -1.9%) | $1,110 / $1,070 (-$40, -3.6%) | $1,320 / $1,270 (-$50, -3.8%) | $1,780 / $1,710 (-$70, -3.9%) | $2,210 / $2,120 (-$90, -4.1%) |
| Houston | 77033 | $1,150 / $1,140 (-$10, -0.9%) | $1,190 / $1,160 (-$30, -2.5%) | $1,410 / $1,380 (-$30, -2.1%) | $1,900 / $1,860 (-$40, -2.1%) | $2,370 / $2,310 (-$60, -2.5%) |
| Houston | 77036 | $1,120 / $1,080 (-$40, -3.6%) | $1,160 / $1,100 (-$60, -5.2%) | $1,380 / $1,310 (-$70, -5.1%) | $1,860 / $1,770 (-$90, -4.8%) | $2,320 / $2,190 (-$130, -5.6%) |
| Houston | 77072 | $1,170 / $1,140 (-$30, -2.6%) | $1,210 / $1,160 (-$50, -4.1%) | $1,440 / $1,380 (-$60, -4.2%) | $1,940 / $1,860 (-$80, -4.1%) | $2,420 / $2,310 (-$110, -4.5%) |
| Milwaukee | 53206 | $870 / $930 (+$60, +6.9%) | $960 / $1,010 (+$50, +5.2%) | $1,140 / $1,210 (+$70, +6.1%) | $1,410 / $1,490 (+$80, +5.7%) | $1,540 / $1,610 (+$70, +4.5%) |
| Milwaukee | 53208 | $940 / $930 (-$10, -1.1%) | $1,020 / $1,010 (-$10, -1.0%) | $1,220 / $1,210 (-$10, -0.8%) | $1,500 / $1,490 (-$10, -0.7%) | $1,630 / $1,610 (-$20, -1.2%) |
| Milwaukee | 53210 | $930 / $930 ($0, 0.0%) | $1,010 / $1,010 ($0, 0.0%) | $1,210 / $1,210 ($0, 0.0%) | $1,490 / $1,490 ($0, 0.0%) | $1,610 / $1,610 ($0, 0.0%) |
Atlanta: every ZIP down, three of them by almost 10%
Three Atlanta ZIPs lost close to a tenth of their 3BR rent in one year. 30310 dropped $170. 30331 dropped $190. 30318 dropped $240. The other three got off easier: $40 in 30311 and 30315, $90 in 30314.
Here's the part that stings. We track 30 Atlanta rent cells, six ZIPs times five bedroom sizes. Twenty-nine went down. One, the 30315 studio, stayed flat. None went up.
DealBeast users ran 382 unique 3BR addresses in these six ZIPs between July 28, 2025 and September 26, 2026. The median DealBeast rent estimate on that set was $2,240. That's above the FY2027 3BR SAFMR in all six ZIPs. The highest one is $2,220, in 30318.
So in Atlanta, the voucher number and the market number just moved further apart. My take: stop selling Atlanta rentals on the Section 8 angle alone. Lead with the market rent comps and let the voucher be a backup. If the file only works at the old voucher rent, it doesn't work.
More on the Atlanta board in the Atlanta 2026 snapshot.
Houston: smaller cuts, all in one direction
Houston didn't fall as hard. It fell everywhere, though. All 20 Houston cells went down. At 3BR, 77036 lost $90 (4.8%), 77072 lost $80, 77016 lost $70 and 77033 lost $40.
Small dollars, right? Not on a rental buyer's spreadsheet. Using the assumptions in the worked example below, $90 a month knocks about $13,900 off what a financed buyer can pay. $40 a month is about $6,200.
We're not printing a DealBeast rent median for Houston. Only 5 unique 3BR addresses in these ZIPs came through in the same window. That's not a sample.
Milwaukee: the one that held
Milwaukee is the exception. 53206 went up at every bedroom size, and the 3BR rose $80, from $1,410 to $1,490 (+5.7%). 53208 slipped $10. 53210 didn't move.
One odd detail. For FY2027, HUD gives all three Milwaukee ZIPs the exact same schedule: $930, $1,010, $1,210, $1,490 and $1,610 for studio through 4BR. Last year they differed.
For a wholesaler, 53206 is the one to notice. At the worked-example assumptions, $80 a month adds about $12,300 to what a financed rental buyer can pay. That's not a reason to pay the seller more. It's a reason to put your 53206 files in front of voucher landlords first. The Milwaukee 2026 snapshot covers the rest of that board.
Worked example: what $170 a month does to MAO
This is illustrative. Your buyer's numbers will differ. The point is the size of the swing, not the exact dollars.
The house: a 3BR in Atlanta 30310. The buyer is a voucher landlord who underwrites rent at 100% of the SAFMR. That's $1,730 under FY2026 and $1,560 under FY2027.
Assumptions, stated plainly:
- Taxes $244 a month and insurance $83 a month. Those are rounded medians from the same 382 Atlanta 3BR analyses above.
- Vacancy 5%, repairs and capex 10%, management 8%. That's 23% of rent.
- The buyer finances 75% of all-in cost (price plus rehab) at 7% for 30 years. With taxes and insurance counted above, the loan payment plus those two lines is the full PITI.
- The buyer wants $200 a month cash flow.
- Rehab is $30,000. Your assignment fee is $10,000.
| Atlanta 30310, 3BR (illustrative) | FY2026 rent | FY2027 rent |
|---|---|---|
| Monthly rent (100% of SAFMR) | $1,730 | $1,560 |
| Vacancy, repairs and capex, management (23%) | $398 | $359 |
| Taxes plus insurance | $327 | $327 |
| Target cash flow | $200 | $200 |
| Max loan payment | $805 | $674 |
| Max loan | $120,998 | $101,308 |
| Buyer's max all-in | $161,331 | $135,077 |
| Less rehab and your fee | $40,000 | $40,000 |
| Your MAO | $121,331 | $95,077 |
A $170 rent cut took $26,254 off your MAO. That's more than two and a half times the assignment fee in this example.
Flip it around. Say your buyer locked in at the FY2026 numbers. Same loan, same house, new rent. Cash flow drops from $200 a month to $69. Most landlords walk at $69.
The shortcut at these assumptions: every $100 a month of rent is worth about $15,400 of what the buyer can pay. Rent goes down $100, your MAO goes down about $15,400. Lenders feel it too. A DSCR loan is sized off the same rent, so lower rent means a smaller loan before the buyer even runs their own math. If you want the longer version of the rent side, read up on NOI and cap rate.
What to do this week
- Re-run every rental-exit file in Atlanta and Houston at FY2027 rent. Start from ARV with the ARV calculator, then rebuild MAO.
- If you have an Atlanta contract priced off last year's voucher rent, call your buyers now. Don't find out at the closing table.
- Don't drop your price on a long-DOM seller just because the rent dropped. DOM tells you the seller might move. It doesn't change the buyer's math.
- In Milwaukee 53206, lead with the higher voucher rent when you market the file.
FAQ
What are the FY2027 Fair Market Rents for a 3BR in Atlanta?
In the six Atlanta ZIPs we track, the FY2027 3BR Small Area FMR runs from $1,430 (30315) to $2,220 (30318). Every one is lower than FY2026, by $40 to $240.
When do the FY2027 numbers apply?
HUD's FY2027 FMRs took effect October 1, 2026. Your housing authority sets its own payment standard, normally 90% to 110% of the FMR, and may not switch on day one. Call it before you promise a buyer a voucher rent.
Is the Small Area FMR the rent my buyer will collect?
Not exactly. HUD's FMR is a gross rent, meaning rent plus tenant-paid utilities. If the tenant pays utilities, the housing authority subtracts a utility allowance, so the landlord collects less than the headline number. Underwrite below the SAFMR when utilities are on the tenant.
Should I use the metro FMR or the Small Area FMR?
Use whichever one your local housing authority uses, and don't mix them. This post uses Small Area FMRs for both years. The metro-wide FMR for the same area is a different number.