Section 8 Fair Market Rent (FMR) for ZIP 32531 - 2027

Location: Pensacola-Ferry Pass-Brent, FL | Metro: Crestview-Fort Walton Beach-Destin, FL HUD Metro FMR Area

Investment Score for ZIP 32531

D
Monthly Rent (2BR)
$1,610
Median Price (2BR)
$208,779
1% Rule
0.77%
Annual Yield
9.25%

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$1,230
1 Bedroom$1,430
2 Bedrooms$1,610
3 Bedrooms$2,210
4 Bedrooms$2,690
5 Bedrooms$3,120
6 Bedrooms$3,494
7 Bedrooms$3,774
8 Bedrooms$3,963

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 $1,610 $208,779 0.77% D
3BR $2,210 $299,147 0.74% D
4BR $2,690 $411,577 0.65% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
7,314
Median Household Income
$84,992
Housing Units
3,257
Renter Percentage
18.0%
Occupancy Rate
90.7%
Renter Occupied
532

The ZIP code 32531, located in Baker, FL within Okaloosa County, stands out due to its unique mix of economic characteristics. With a population of 7,314 residents, it has a relatively low rental rate at 18.0%, indicating that most residents own their homes. The median household income in this area is $84,992, which is higher than the national average, suggesting a prosperous community. However, the median home value is notably high at $323,721, which could pose challenges for potential renters looking to move into the area.

Moving onto the specifics of Section 8 housing, the Fair Market Rent (FMR) for ZIP 32531 for fiscal year 2024 is set at $1,210. This figure is significantly above the market rent of $866 as reported by the Census Bureau's American Community Survey (ACS), indicating that landlords participating in the Section 8 program can potentially receive higher rents compared to the local market rates. This discrepancy between FMR and market rent can be beneficial for landlords, as it provides an incentive to participate in the program and helps ensure that rental units remain affordable for low-income families.

The data signature for ZIP 32531 reads as stable. The higher median income and lower rental rates suggest that the majority of residents are homeowners who have the financial means to maintain their properties. Additionally, the disparity between the FMR and the actual market rent indicates that there is a consistent demand for rental properties that are covered under the Section 8 program, which can provide a reliable source of income for landlords. This stability is further reinforced by the high median home value, which reflects a strong local economy and a preference for homeownership among the residents.

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.