diff --git a/aws/resource_aws_spot_fleet_request.go b/aws/resource_aws_spot_fleet_request.go
index a3b5cabe689..e2ef0036dd0 100644
--- a/aws/resource_aws_spot_fleet_request.go
+++ b/aws/resource_aws_spot_fleet_request.go
@@ -883,7 +883,7 @@ func resourceAwsSpotFleetRequestCreate(d *schema.ResourceData, meta interface{})
 	if v, ok := d.GetOk("allocation_strategy"); ok {
 		spotFleetConfig.AllocationStrategy = aws.String(v.(string))
 	} else {
-		spotFleetConfig.AllocationStrategy = aws.String("lowestPrice")
+		spotFleetConfig.AllocationStrategy = aws.String(ec2.AllocationStrategyLowestPrice)
 	}
 
 	if v, ok := d.GetOk("instance_pools_to_use_count"); ok && v.(int) != 1 {
@@ -1479,11 +1479,10 @@ func resourceAwsSpotFleetRequestUpdate(d *schema.ResourceData, meta interface{})
 	updateFlag := false
 
 	if d.HasChange("target_capacity") {
-		if val, ok := d.GetOk("target_capacity"); ok {
+		if val, ok := d.GetOkExists("target_capacity"); ok {
 			req.TargetCapacity = aws.Int64(int64(val.(int)))
+			updateFlag = true
 		}
-
-		updateFlag = true
 	}
 
 	if d.HasChange("excess_capacity_termination_policy") {
@@ -1495,9 +1494,25 @@ func resourceAwsSpotFleetRequestUpdate(d *schema.ResourceData, meta interface{})
 	}
 
 	if updateFlag {
+		log.Printf("[DEBUG] Modifying Spot Fleet Request: %#v", req)
 		if _, err := conn.ModifySpotFleetRequest(req); err != nil {
 			return fmt.Errorf("error updating spot request (%s): %s", d.Id(), err)
 		}
+
+		log.Println("[INFO] Waiting for Spot Fleet Request to be modified")
+		stateConf := &resource.StateChangeConf{
+			Pending:    []string{ec2.BatchStateModifying},
+			Target:     []string{ec2.BatchStateActive},
+			Refresh:    resourceAwsSpotFleetRequestStateRefreshFunc(d, meta),
+			Timeout:    10 * time.Minute,
+			MinTimeout: 10 * time.Second,
+			Delay:      30 * time.Second,
+		}
+
+		_, err := stateConf.WaitForState()
+		if err != nil {
+			return err
+		}
 	}
 
 	if d.HasChange("tags") {
diff --git a/aws/resource_aws_spot_fleet_request_test.go b/aws/resource_aws_spot_fleet_request_test.go
index 1a76e11c8fe..1c4757356ea 100644
--- a/aws/resource_aws_spot_fleet_request_test.go
+++ b/aws/resource_aws_spot_fleet_request_test.go
@@ -1072,6 +1072,48 @@ func TestAccAWSSpotFleetRequest_WithTargetGroups(t *testing.T) {
 	})
 }
 
+func TestAccAWSSpotFleetRequest_zero_capacity(t *testing.T) {
+	var sfr ec2.SpotFleetRequestConfig
+	rName := acctest.RandomWithPrefix("tf-acc-test")
+	validUntil := time.Now().UTC().Add(24 * time.Hour).Format(time.RFC3339)
+	resourceName := "aws_spot_fleet_request.test"
+
+	resource.ParallelTest(t, resource.TestCase{
+		PreCheck:     func() { testAccPreCheck(t); testAccPreCheckAWSEc2SpotFleetRequest(t) },
+		Providers:    testAccProviders,
+		CheckDestroy: testAccCheckAWSSpotFleetRequestDestroy,
+		Steps: []resource.TestStep{
+			{
+				Config: testAccAWSSpotFleetRequestZeroCapacityConfig(rName, validUntil),
+				Check: resource.ComposeAggregateTestCheckFunc(
+					testAccCheckAWSSpotFleetRequestExists(resourceName, &sfr),
+					resource.TestCheckResourceAttr(resourceName, "target_capacity", "0"),
+				),
+			},
+			{
+				ResourceName:            resourceName,
+				ImportState:             true,
+				ImportStateVerify:       true,
+				ImportStateVerifyIgnore: []string{"wait_for_fulfillment"},
+			},
+			{
+				Config: testAccAWSSpotFleetRequestConfig(rName, validUntil),
+				Check: resource.ComposeAggregateTestCheckFunc(
+					testAccCheckAWSSpotFleetRequestExists(resourceName, &sfr),
+					resource.TestCheckResourceAttr(resourceName, "target_capacity", "2"),
+				),
+			},
+			{
+				Config: testAccAWSSpotFleetRequestZeroCapacityConfig(rName, validUntil),
+				Check: resource.ComposeAggregateTestCheckFunc(
+					testAccCheckAWSSpotFleetRequestExists(resourceName, &sfr),
+					resource.TestCheckResourceAttr(resourceName, "target_capacity", "0"),
+				),
+			},
+		},
+	})
+}
+
 func TestAccAWSSpotFleetRequest_WithInstanceStoreAmi(t *testing.T) {
 	t.Skip("Test fails due to test harness constraints")
 	rName := acctest.RandomWithPrefix("tf-acc-test")
@@ -2308,3 +2350,23 @@ resource "aws_spot_fleet_request" "test" {
 }
 `, rName, validUntil)
 }
+
+func testAccAWSSpotFleetRequestZeroCapacityConfig(rName string, validUntil string) string {
+	return testAccAWSSpotFleetRequestConfigBase(rName) + fmt.Sprintf(`
+resource "aws_spot_fleet_request" "test" {
+    iam_fleet_role = "${aws_iam_role.test.arn}"
+    spot_price = "0.05"
+    target_capacity = 0
+    valid_until = %[1]q
+    terminate_instances_with_expiration = true
+    instance_interruption_behaviour = "stop"
+    wait_for_fulfillment = true
+    launch_specification {
+        instance_type = "${data.aws_ec2_instance_type_offering.available.instance_type}"
+        ami           = "${data.aws_ami.amzn-ami-minimal-hvm-ebs.id}"
+        key_name      = "${aws_key_pair.test.key_name}"
+    }
+    depends_on = ["aws_iam_policy_attachment.test"]
+}
+`, validUntil)
+}