Section 8 Fair Market Rent (FMR) for ZIP 32605 - 2027

Location: Gainesville, FL | Metro: Gainesville, FL HUD Metro FMR Area

Investment Score for ZIP 32605

C
Monthly Rent (2BR)
$1,760
Median Price (2BR)
$202,790
1% Rule
0.87%
Annual Yield
10.41%

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$1,430
1 Bedroom$1,490
2 Bedrooms$1,760
3 Bedrooms$2,160
4 Bedrooms$2,310
5 Bedrooms$2,680
6 Bedrooms$3,002
7 Bedrooms$3,242
8 Bedrooms$3,404

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
1BR $1,490 $99,035 1.5% A+
2BR $1,760 $202,790 0.87% C
3BR $2,160 $288,364 0.75% D
4BR $2,310 $417,165 0.55% F
5BR $2,680 $580,909 0.46% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
24,689
Median Household Income
$86,714
Housing Units
11,390
Renter Percentage
22.1%
Occupancy Rate
93.3%
Renter Occupied
2,347

The ZIP code 32605 in Gainesville, FL, is moderately renter-heavy, with 22.1% of the population renting their homes. This percentage indicates a significant demand for rental properties, but it also suggests that homeownership remains prevalent among residents. The total population of 24,689 provides a robust base for potential tenants.

The median household income in this area stands at $86,714, which is higher than the national average. However, the typical market rent of $1,864 represents a substantial portion of the local income. Specifically, the monthly rent consumes approximately 27% of the median monthly income ($86,714/12 ≈ $7,228), making it a considerable expense for many households.

Comparing the market rent to the Fair Market Rent (FMR) of $1,690 for FY 2024 shows that the actual rent in ZIP 32605 is slightly above the FMR. This indicates that landlords may have some flexibility in pricing, though they should be mindful of the affordability for low-income families who rely on housing vouchers.

The tenant profile in this ZIP code will likely include a mix of students, young professionals, and low-income families. Given the proximity to the University of Florida, student rentals are common. However, the presence of a diverse range of incomes means that landlords can expect a variety of tenant types. Those relying on Section 8 vouchers will need to ensure their income qualifies them for assistance, typically requiring that their income does not exceed 50% of the area median income (AMI).

In summary, while ZIP 32605 has a notable share of renters, the relatively high median income and slightly elevated market rents suggest that landlords must carefully manage their properties to attract and retain tenants. Landlords should prepare for a tenant pool that includes individuals and families seeking affordable housing solutions, including those utilizing Section 8 vouchers.

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.