Section 8 Fair Market Rent (FMR) for ZIP 32858 - 2027

FY 2027 Fair Market Rent Rates

To understand how Section 8 economics work in ZIP code 32858, it's important to know the specifics related to the Subsidized Average Fair Market Rent (SAFMR) and the local rental market conditions. For fiscal year 2024, the SAFMR for a two-bedroom apartment in this ZIP code is set at $1870. This figure is specifically tailored for this ZIP code, reflecting the unique housing cost dynamics in the area.

The Section 8 Housing Choice Voucher program operates by subsidizing the difference between the tenant's contribution and the actual rent charged. The tenant's portion is typically 30% of their adjusted income, while the rest is covered by the voucher. However, the maximum amount that can be reimbursed to the landlord is capped at the SAFMR level, which in this case is $1870 per month for a two-bedroom unit.

Let's break down the economics for a landlord. If you have a two-bedroom apartment rented out under a Section 8 voucher, the voucher will cover up to $1870 of the rent. Any rent above this amount must be paid by the tenant themselves, and they cannot be charged more than the market rent for the area. Given that the local market rent for a two-bedroom is currently unknown, it's critical to stay below or at the SAFMR to ensure full payment from the voucher program.

In addition to the base rent, the voucher also includes utility allowances. These allowances vary but are designed to help cover the costs of electricity, water, and other utilities. For a two-bedroom apartment, the total utility allowance might be around $200-$300 per month, depending on the specifics of the property and its location within ZIP 32858.

For example, if your tenant's adjusted income allows them to contribute $600 towards rent, the voucher would cover the remaining $1270 of the $1870 rent. If the utility allowance is $250, the total monthly payment you could receive would be $1870 for rent plus $250 for utilities, totaling $2120. This calculation assumes the rent does not exceed the SAFMR and that the utility allowance is applied.

Given the SAFMR of $1870 and the unknown local market rent, landlords should expect a reimbursement gap if the market rent exceeds the SAFMR. Conversely, if the market rent is lower than the SAFMR, landlords may find themselves with a surplus where the voucher covers more than the actual rent charged. In ZIP 32858, without knowing the precise local market rent, it's advisable to set your rent close to the SAFMR to avoid financial shortfalls and ensure steady cash flow.

In summary, for a two-bedroom apartment in ZIP 32858, landlords can expect a reimbursement of up to $1870 for rent and an additional utility allowance, typically ranging from $200 to $300. The exact reimbursement gap or surplus depends on the local market rent, which is currently unavailable, but setting your rent at or slightly below the SAFMR ensures full payment from the voucher 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.