Location: Jacksonville, FL | Metro: Palm Coast, FL 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 | $1,480 |
| 1 Bedroom | $1,500 |
| 2 Bedrooms | $1,790 |
| 3 Bedrooms | $2,190 |
| 4 Bedrooms | $2,740 |
| 5 Bedrooms | $3,178 |
| 6 Bedrooms | $3,559 |
| 7 Bedrooms | $3,844 |
| 8 Bedrooms | $4,036 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,790 | $256,167 | 0.7% | D |
| 3BR | $2,190 | $371,415 | 0.59% | F |
| 4BR | $2,740 | $470,117 | 0.58% | F |
| 5BR | $3,178 | $570,980 | 0.56% | F |
U.S. Census Bureau data (2024)
The HUD Fair Market Rent (FMR) for ZIP code 32086, which encompasses Saint Augustine, FL, and parts of Saint Johns County and the Jacksonville, FL HUD Metro FMR Area, is set at $1710 for fiscal year 2024. In comparison, the Zillow Observed Rental Index (ZORI) indicates that the average market rent for the area is $2160. This means that landlords accepting Section 8 vouchers will experience marginal cash flow at the HUD FMR, as it falls short of the market rate by approximately $450 per unit. However, cash flow can be improved with premium units that command higher rents.
The median home value in the area is $371,150, leading to a rent-to-price ratio of about 0.46%. This ratio suggests that rental properties in ZIP 32086 offer a relatively modest return compared to the purchase price of homes. The 75-day median days on market (DOM) and a 0.3% price-cut share indicate that the local housing market is stable and slightly favoring sellers, which has implications for the rent-versus-buy decision for potential tenants.
The strong investor angle in this market is stability. With a low DOM and minimal price-cutting, investors can expect consistent performance and reliable occupancy rates, ensuring steady cash flow and long-term investment security.
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.