Location: Miami-Miami Beach-Kendall, FL | Metro: Miami-Miami Beach-Kendall, 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 | $2,460 |
| 1 Bedroom | $2,670 |
| 2 Bedrooms | $3,230 |
| 3 Bedrooms | $4,130 |
| 4 Bedrooms | $4,720 |
| 5 Bedrooms | $5,475 |
| 6 Bedrooms | $6,132 |
| 7 Bedrooms | $6,623 |
| 8 Bedrooms | $6,954 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,670 | $418,357 | 0.64% | D |
| 2BR | $3,230 | $668,326 | 0.48% | F |
| 3BR | $4,130 | $2,179,891 | 0.19% | F |
| 4BR | $4,720 | $3,240,546 | 0.15% | F |
| 5BR | $5,475 | $6,027,672 | 0.09% | F |
U.S. Census Bureau data (2024)
In ZIP 33140, which encompasses parts of Miami Beach, FL, and Miami-Dade County, the economics of Section 8 housing vouchers are structured around the Specific Area Fair Market Rent (SAFMR) and the local market rent. For a two-bedroom apartment in this ZIP code, the SAFMR for FY 2024 is set at $2,970. This figure represents the maximum amount a landlord can charge a Section 8 tenant for rent. However, the local market rent, as measured by Zillow's Observed Rental Index (ZORI), stands at $3,819.
The Section 8 voucher program aims to cover the difference between what a low-income family can afford and the SAFMR. Here’s how it works for landlords in ZIP 33140:
The tenant is responsible for paying 30% of their adjusted monthly income towards rent. If a tenant’s adjusted monthly income is $2,000, they would pay $600 towards rent.
The voucher pays the remaining 70%, up to the SAFMR limit. In this case, the voucher would pay $2,370 ($2,970 - $600).
The total rent payment to the landlord, combining the tenant’s contribution and the voucher payment, would be $2,970.
Utility allowances are also part of the calculation. These vary but typically add an additional $200-$300 to the monthly payment. Let’s assume an average utility allowance of $250. This brings the total monthly reimbursement to the landlord to $3,220 ($2,970 + $250).
Given that the local market rent for a two-bedroom apartment is $3,819, landlords accepting Section 8 vouchers will see a reimbursement gap. This gap is the difference between the market rent and the combined payment from the tenant and the voucher. For ZIP 33140, the typical reimbursement gap for a two-bedroom unit is $599 per month ($3,819 - $3,220).
This means landlords must decide whether the benefits of having a reliable tenant, who is vetted and whose rent is guaranteed by the government, outweigh the lower rental income compared to market rates. The gap reflects the economic reality landlords face when participating in the Section 8 program in this ZIP code.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.