Section 8 Fair Market Rent (FMR) for ZIP 32522 - 2027

FY 2027 Fair Market Rent Rates

The economics of Section 8 in ZIP code 32522, located in Pensacola-Ferry Pass-Brent County, Florida, can be straightforward if you understand how the housing vouchers operate. For fiscal year 2024, the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code is set at $1240. This figure represents the maximum amount that the government will pay on behalf of a tenant towards rent.

To clarify, the SAFMR is a rate determined specifically for this ZIP code, reflecting the local rental market conditions. It's important to note that the local market rent for a two-bedroom unit in ZIP 32522 is currently not available, which means landlords must rely on the SAFMR to gauge what they might receive from the voucher program.

A landlord should understand that the voucher payment does not cover the entire rent. The tenant is responsible for paying a portion of the rent, typically around 30% of their income, and there is also an allowance for utilities. Let's break down the typical reimbursement:

• Tenant Portion: If a tenant's income is $1000 per month, they would contribute approximately $300 towards the rent.
• Voucher Payment: The government would then cover the remaining $940 of the rent, up to the SAFMR of $1240.
• Utility Allowance: There is a separate utility allowance that varies based on the number of bedrooms but is generally less than the rent component. In ZIP 32522, it does not affect the overall rent calculation directly since it's a separate payment.

This means that for a two-bedroom apartment, the total rent collected would be the sum of the tenant's contribution and the voucher payment. In our example, the landlord would receive $1240 ($300 from the tenant + $940 from the voucher).

If the market rent for a two-bedroom in ZIP 32522 were higher than the SAFMR, landlords would face a reimbursement gap. However, with the current SAFMR set at $1240 and the lack of specific market rent data, it's challenging to determine if there is a surplus or a gap. Typically, landlords should aim to keep their rents close to or slightly below the SAFMR to ensure full occupancy and steady income.

In summary, for ZIP 32522, the SAFMR for a two-bedroom apartment is $1240. Landlords will receive this amount when a tenant uses a voucher, assuming the tenant's portion plus the voucher equals the SAFMR. Without specific market rent data, it's unclear whether landlords will see a surplus or a gap, but maintaining rents near the SAFMR ensures stability and compliance with the program.

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.