Section 8 Fair Market Rent (FMR) for ZIP 33165 - 2027

Investment Score for ZIP 33165

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	$2,020
1 Bedroom	$2,190
2 Bedrooms	$2,650
3 Bedrooms	$3,390
4 Bedrooms	$3,870
5 Bedrooms	$4,489
6 Bedrooms	$5,028
7 Bedrooms	$5,430
8 Bedrooms	$5,702

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	$2,190	$212,371	1.03%	B
2BR	$2,650	$480,012	0.55%	F
3BR	$3,390	$666,493	0.51%	F
4BR	$3,870	$760,639	0.51%	F
5BR	$4,489	$879,421	0.51%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 33165 (University Park, FL) #### Section 8 Voucher Dynamics In ZIP code 33165, the Fair Market Rent (FMR) for a two-bedroom apartment is set at $2,560 per month for the year 2026. This amount represents 36.1% of the median household income in the area, which stands at $85,200. However, the actual rental market is significantly higher, with the Zillow median price for a two-bedroom home being $464,305. The price-to-FMR ratio of 15.1x indicates that the actual purchase price of a property is much higher than the rent it can command under the Section 8 program. For voucher holders, this means they face significant constraints in finding affordable housing. The FMR is far below the market rent, making it challenging for them to secure homes without assistance from landlords willing to accept lower rents. #### Affordability & Renter Profile The population of University Park is 48,817, with 29.0% of residents being renters. This suggests a relatively high demand for rental properties, but the occupancy rate of 95.7% indicates that the market is tight. With a median household income of $85,200, the majority of residents can afford market-rate rentals, but those relying on Section 8 vouchers will find it difficult to compete with other potential tenants who can pay closer to the market rates. The affordability gap is particularly pronounced for larger units, such as three-bedroom ($3,290) and four-bedroom ($3,800) apartments, which are well above the FMR levels. #### Investor Angle From an investor perspective, the ZIP code 33165 presents a mixed picture. The FMR for a two-bedroom unit is $2,560, which is substantially lower than the market rent. Given the high occupancy rate and the fact that only 29.0% of the population are renters, there is a strong likelihood that landlords will struggle to fill vacancies if they rely solely on Section 8 vouchers. The price-to-FMR ratio of 15.1x suggests that the investment would be highly leveraged, meaning the monthly rent would cover only a small portion of the mortgage payment. This makes it challenging to achieve positive cash flow without substantial subsidies or additional revenue streams. The investment grade for this ZIP code would be considered low due to the difficulty in securing positive cash flow and the limited pool of potential Section 8 tenants relative to the overall rental market. Additionally, the high purchase price of properties ($464,305 for a two-bedroom home) further complicates the financial viability of such investments. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high price-to-FMR ratio, investors should consider focusing on smaller units like one-bedroom apartments, where the FMR is $2,100. Although still a challenge, these units might offer better opportunities for positive cash flow compared to larger units. 2. **Seek Non-Section 8 Tenants**: Due to the tight rental market and the high cost of properties, investors might benefit more from seeking non-Section 8 tenants who can pay closer to market rates. This could help offset the higher mortgage payments and ensure a more stable cash flow. 3. **Consider Mixed-Income Developments**: Developing properties that cater to both Section 8 voucher holders and market-rate tenants could provide a balanced approach. This strategy would allow investors to leverage the higher rents paid by market-rate tenants to subsidize the lower rents required by Section 8 vouchers. #### Bottom Line For Section 8-focused investors, the recommendation for ZIP code 33165 is to **Skip**. The high price-to-FMR ratio and the tight rental market make it difficult to achieve positive cash flow. Additionally, the limited number of potential Section 8 tenants relative to the overall population suggests that there is a higher risk of vacancy. Investors looking to enter this market should carefully evaluate their ability to manage properties with potentially lower returns and consider alternative strategies, such as targeting smaller units or developing mixed-income properties. --- This analysis provides a detailed overview of the rental market dynamics in ZIP code 33165, highlighting the challenges faced by both voucher holders and investors. The key takeaway is that while the area has a strong demand for rental properties, the constraints imposed by the FMR and the high purchase prices make it less attractive for Section 8-focused investments.

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.