Section 8 Fair Market Rent (FMR) for ZIP 32708 - 2027

Investment Score for ZIP 32708

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	$1,770
1 Bedroom	$1,840
2 Bedrooms	$2,090
3 Bedrooms	$2,610
4 Bedrooms	$3,050
5 Bedrooms	$3,538
6 Bedrooms	$3,963
7 Bedrooms	$4,280
8 Bedrooms	$4,494

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	$1,840	$145,981	1.26%	A
2BR	$2,090	$248,072	0.84%	C
3BR	$2,610	$376,714	0.69%	D
4BR	$3,050	$566,864	0.54%	F
5BR	$3,538	$773,508	0.46%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 32708 (Winter Springs, FL) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for Winter Springs, FL, as defined by HUD for 2026, is $2100 for a two-bedroom unit. This represents 26.9% of the median household income in the area, which stands at $93,628. However, the actual rental market in Winter Springs is significantly higher. The Zillow median price for a two-bedroom home is $250,278, indicating a price-to-FMR ratio of 9.9x. This suggests that the actual rent prices are much higher than the FMR, making it challenging for Section 8 voucher holders to find affordable housing. For instance, a voucher holder would be constrained to paying only up to $2100 per month for a two-bedroom unit, while the market price could be substantially higher. #### Affordability & Renter Profile Winter Springs has a population of 48,965, with 24.8% of residents being renters. The occupancy rate is high at 92.9%, suggesting a relatively tight rental market where demand meets supply closely. Given the median household income of $93,628, the majority of residents can afford market-rate rentals. However, the 24.8% of renters who rely on Section 8 vouchers face significant challenges due to the disparity between FMR and actual rental prices. For example, a three-bedroom unit's FMR is $2640, but the market price could be far beyond this amount, making it difficult for low-income families to secure suitable housing. #### Investor Angle From an investor perspective, the ZIP code 32708 presents a mixed picture when considering cash flow based on FMR. While the FMRs are lower than market rates, they still offer a reasonable basis for investment. For a two-bedroom unit, the FMR of $2100 is well below the median market price of $250,278, which translates into a monthly rent that is significantly less than what the market demands. This means that landlords who participate in the Section 8 program will likely see lower cash flows compared to those renting at market rates. However, the stability of government-backed rental payments and the high occupancy rate of 92.9% make it a relatively safe investment. The investment grade for this ZIP code would be considered moderate. Although the FMRs are lower than market rates, the high demand and stable occupancy suggest that properties rented through Section 8 are likely to remain occupied. However, the limited cash flow potential means that investors should carefully consider their risk tolerance and financial goals before entering this market. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high price-to-FMR ratio, investors might want to focus on smaller units such as one-bedroom apartments. The FMR for a one-bedroom unit is $1840, which is still below the median market price but offers a better chance of finding tenants within the voucher limits. This strategy could help mitigate the risk of vacancy and ensure steady cash flow. 2. **Target Lower-Income Neighborhoods**: Within Winter Springs, there are likely pockets of neighborhoods where the rental prices are closer to the FMR. Investors should conduct a detailed neighborhood analysis to identify these areas. For instance, if a particular neighborhood has average rental prices around $2100 for a two-bedroom unit, it would be more attractive for Section 8-focused investments. 3. **Consider Property Enhancements**: To attract Section 8 tenants, property owners might need to invest in enhancements that meet the quality standards expected by voucher holders. Improvements such as modern appliances, updated bathrooms, and energy-efficient features can make a property more appealing and competitive in the Section 8 market. #### Bottom Line For investors focusing on Section 8 properties, the recommendation for ZIP 32708 is to **Hold**. The market dynamics indicate a challenging environment for cash flow due to the significant gap between FMR and actual rental prices. However, the high occupancy rate and stable demand provide a foundation for maintaining existing investments. New investors should proceed with caution, ensuring they target smaller units or lower-cost neighborhoods to maximize their chances of success.

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.