Section 8 Fair Market Rent (FMR) for ZIP 32163 - 2027

Location: Wildwood-The Villages, FL | Metro: Orlando-Kissimmee-Sanford, FL MSA

Investment Score for ZIP 32163

D
Monthly Rent (2BR)
$2,040
Median Price (2BR)
$292,049
1% Rule
0.7%
Annual Yield
8.38%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,690
1 Bedroom$1,760
2 Bedrooms$2,040
3 Bedrooms$2,480
4 Bedrooms$2,940
5 Bedrooms$3,410
6 Bedrooms$3,819
7 Bedrooms$4,125
8 Bedrooms$4,331

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $2,040 $292,049 0.7% D
3BR $2,480 $487,790 0.51% F
4BR $2,940 $939,170 0.31% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
28,549
Median Household Income
$96,775
Housing Units
18,449
Renter Percentage
5.7%
Occupancy Rate
84.5%
Renter Occupied
884

The Villages, FL, specifically ZIP code 32163, presents several challenges for landlords considering participation in the Section 8 program. First, tenant turnover is a significant concern. The market rent stands at $2,425, while the Fair Market Rent (FMR) for FY 2024 is set at $1460. This substantial gap can lead to frequent turnover as tenants may struggle to afford the higher market rates, even if they qualify for subsidies.

Vacancy exposure is another critical issue. With an average Days on Market (DOM) of 44 days, landlords might face periods where units remain unoccupied. During these times, landlords will still be responsible for maintaining the property without receiving rental income. This can be particularly challenging given the typical home value of $482,751 and a median income of $96,775. These financial metrics suggest that many homeowners in the area may have the means to defer maintenance, which could result in properties that do not meet the required standards for Section 8 tenancy.

However, there are factors that mitigate these risks. The Villages has a relatively high renter share of 5.7%, indicating a robust demand for rental properties. High renter density often correlates with a greater number of individuals seeking voucher assistance, thus potentially increasing the pool of qualified Section 8 tenants.

Verdict: Moderate risk for a first-time Section 8 landlord.

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.