Location: Mayagüez, PR | Metro: Mayagüez, PR HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $560 |
| 1 Bedroom | $580 |
| 2 Bedrooms | $630 |
| 3 Bedrooms | $790 |
| 4 Bedrooms | $980 |
| 5 Bedrooms | $1,137 |
| 6 Bedrooms | $1,273 |
| 7 Bedrooms | $1,375 |
| 8 Bedrooms | $1,444 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 00660 in California reveals a unique market position that is neither purely high-yield nor strictly low-stability. The Federal Market Rent (FMR) for the fiscal year 2024 stands at $580, which is notably higher than the market rent of $562. This indicates a potentially high-yield market, especially for landlords who can secure Section 8 tenants willing to pay the higher FMR rate.
However, the stability of the market is less straightforward. With only 27.4% of residents being renters, the overall demand for rental properties is relatively low. Additionally, the median household income in the area is $26,851, suggesting that there might be challenges in finding tenants who can afford the rents, even if subsidized. This lower income level could impact the reliability of rent payments and the quality of prospective tenants.
The lack of data on days-on-market (DOM) makes it difficult to assess how quickly properties can be rented out. However, given the limited rental population and lower income levels, it's reasonable to infer that the DOM could be longer than in more affluent areas, thus affecting the overall stability and cash flow predictability.
In summary, ZIP 00660 leans towards a high-yield but low-stability market. The higher FMR compared to market rent suggests potential for greater returns, particularly for those able to navigate the complexities of the Section 8 program. Yet, the relatively low percentage of renters and the modest household income indicate a market where achieving steady cash flow could be challenging. For landlords and small-portfolio investors, this environment requires careful tenant selection and possibly a higher tolerance for vacancy periods to maximize the yield advantage.
Data Sources: FMR data from HUD (2027). 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.