Location: Deltona-Daytona Beach-Ormond Beach, FL | Metro: Deltona-Daytona Beach-Ormond Beach, 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 | $1,140 |
| 1 Bedroom | $1,250 |
| 2 Bedrooms | $1,530 |
| 3 Bedrooms | $2,020 |
| 4 Bedrooms | $2,190 |
| 5 Bedrooms | $2,540 |
| 6 Bedrooms | $2,845 |
| 7 Bedrooms | $3,073 |
| 8 Bedrooms | $3,227 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,530 | $273,593 | 0.56% | F |
| 3BR | $2,020 | $360,821 | 0.56% | F |
U.S. Census Bureau data (2024)
The Section 8 thesis in ZIP code 32759, which encompasses parts of Oak Hill, FL, highlights a critical gap between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR is set at $1,250, while the Census ACS reports the market rent at $1,302. This discrepancy represents a $52 difference, or approximately 4.2%, between what landlords can charge voucher tenants and the prevailing open-market rent.
Given that the FMR is lower than the market rent, it's important for landlords and small-portfolio investors to understand the implications of this gap. When FMR is less than the market rent, landlords who accept housing vouchers must absorb the difference between the voucher amount and the market rate. In Oak Hill, FL, where the median home value is $336,492 and the median income stands at $61,671, the financial burden of renting below market rates can be significant. With only 17.2% of residents being renters, competition for rental properties is relatively low, which means landlords might struggle to find non-voucher tenants willing to pay the higher market rate once voucher tenants vacate.
To put this into perspective, if a landlord has a property listed at $1,302 per month but receives a voucher payment of $1,250, they must either reduce their rent to attract new tenants or risk vacancy. This scenario poses a challenge for landlords looking to maximize their rental income. However, accepting Section 8 vouchers can still be a viable strategy, especially in areas with limited rental stock and a high demand for affordable housing. It ensures a steady stream of rental income, albeit at a slightly reduced rate compared to the open market.
In conclusion, the gap between FMR and market rent in ZIP 32759 underscores the financial realities landlords face when considering Section 8 participation. While the difference is modest at $52 or 4.2%, it can impact overall yield, particularly in a market where only a small fraction of the population rents. Landlords must weigh these factors carefully and consider the broader economic context of Oak Hill, FL, before deciding whether to accept housing 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.