Location: Panama City, FL | Metro: Panama City, 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 | $1,290 |
| 1 Bedroom | $1,340 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $1,960 |
| 4 Bedrooms | $2,430 |
| 5 Bedrooms | $2,819 |
| 6 Bedrooms | $3,157 |
| 7 Bedrooms | $3,410 |
| 8 Bedrooms | $3,581 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,520 | $230,718 | 0.66% | D |
| 3BR | $1,960 | $336,114 | 0.58% | F |
| 4BR | $2,430 | $421,123 | 0.58% | F |
| 5BR | $2,819 | $558,249 | 0.5% | F |
U.S. Census Bureau data (2024)
ZIP code 32409, located within the Panama City, FL HUD Metro FMR Area, has a Fair Market Rent (FMR) of $1170 for fiscal year 2024. This is lower than the market rent of $1,409, indicating that it is slightly more affordable for renters compared to the overall market. The median home value in 32409 is $370,826, which aligns closely with the typical home values seen across other ZIP codes in the same metro area. With a renter share of 7.8%, it suggests a relatively low proportion of residents renting their homes, which is common for areas with similar characteristics.
Based on these figures, ZIP 32409 can be classified as a mid-tier neighborhood within the Panama City, FL HUD Metro FMR Area. The FMR is notably lower than the market rent, making it an attractive option for those seeking affordable housing. However, the median home value is comparable to other ZIP codes in the area, suggesting that property prices are in line with what is considered standard for the region.
The divergence between the FMR and market rent, combined with the modest renter share, does not strongly indicate a Section 8 sweet spot. Typically, a higher renter share with below-average home values would signal such an opportunity, but in this case, the home values are consistent with the broader market. Therefore, while 32409 offers some affordability for renters, it does not stand out as a particularly advantageous location for landlords focused specifically on Section 8 tenants.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.