Section 8 Fair Market Rent (FMR) for ZIP 00931 - 2027

FY 2027 Fair Market Rent Rates

The analysis of ZIP code 00931, located in the San Juan-Guaynabo, PR HUD Metro FMR Area, reveals several key points for landlords and small-portfolio investors.

First, the rent math does not work favorably due to the lack of available market rent data. The Fair Market Rent (FMR) for the area is set at $670 per month for fiscal year 2024. Without a comparison to actual market rents, it's challenging to determine if properties can be rented out at a profit that covers costs and provides a reasonable return on investment.

Second, the acquisition of homes in this area is not straightforward due to the absence of specific data on median home values, days on market (DOM), and the percentage of price cuts. These metrics are crucial for assessing whether the cost of purchasing property aligns with the potential rental income and the time and effort required to sell a property if needed.

Third, tenant demand appears uncertain. With no specific population numbers or the percentage of renters in the area, it's difficult to gauge how many potential tenants might be looking for housing. This lack of data makes it hard to predict the occupancy rate and the stability of rental income.

Verdict: Given the incomplete data, investing in ZIP code 00931 presents significant challenges. Landlords and small-portfolio investors need comprehensive market information to make informed decisions about rental pricing and property acquisition. Without such details, the feasibility of a profitable investment under Section 8 guidelines remains unclear.

Data Sources: FMR data from HUD (2027).

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.