Location: Orlando-Kissimmee-Sanford, FL | Metro: Orlando-Kissimmee-Sanford, FL MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,680 |
| 1 Bedroom | $1,750 |
| 2 Bedrooms | $1,990 |
| 3 Bedrooms | $2,480 |
| 4 Bedrooms | $2,900 |
| 5 Bedrooms | $3,364 |
| 6 Bedrooms | $3,768 |
| 7 Bedrooms | $4,069 |
| 8 Bedrooms | $4,272 |
The economics of Section 8 housing in ZIP code 32878, located in Orlando-Kissimmee-Sanford County, Florida, are straightforward. For a two-bedroom apartment, the SAFMR (the maximum amount the government will pay) is set at $1870 per month for fiscal year 2024. This figure is specific to this ZIP code, meaning it reflects the local housing market conditions.
Section 8 vouchers operate under a formula where the government pays the difference between the SAFMR and the tenant's contribution. The tenant's contribution is typically 30% of their adjusted income. For example, if a tenant has an adjusted income of $1000 per month, they would contribute $300 towards rent. The remaining balance, up to the SAFMR limit, is covered by the federal government.
In ZIP 32878, landlords can expect the following breakdown:
Utility allowances are also factored into the equation. These allowances vary but are designed to cover reasonable costs associated with utilities such as electricity, water, and gas. The allowance does not increase the total SAFMR but is intended to help the tenant manage their monthly expenses.
To illustrate, consider a tenant contributing $300. The government would then reimburse the landlord up to $1570 ($1870 - $300), ensuring the total rent does not exceed the SAFMR. If the local market rent for a similar unit is higher than $1870, the landlord would face a shortfall. Conversely, if the market rent is lower, the landlord might receive slightly more stable income.
The typical reimbursement gap or surplus in ZIP 32878 for a two-bedroom unit is directly tied to the market rent. Given the lack of specific market rent data, it is important for landlords to compare the SAFMR of $1870 against their own rental rates to determine if there will be a surplus or shortfall. This analysis helps in understanding the financial impact of accepting Section 8 tenants.
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.