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 | $2,580 |
| 1 Bedroom | $2,800 |
| 2 Bedrooms | $3,390 |
| 3 Bedrooms | $4,330 |
| 4 Bedrooms | $4,960 |
| 5 Bedrooms | $5,754 |
| 6 Bedrooms | $6,444 |
| 7 Bedrooms | $6,960 |
| 8 Bedrooms | $7,308 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $3,390 | $335,501 | 1.01% | B |
| 3BR | $4,330 | $630,701 | 0.69% | D |
| 4BR | $4,960 | $778,448 | 0.64% | D |
| 5BR | $5,754 | $1,507,566 | 0.38% | F |
U.S. Census Bureau data (2024)
The Section 8 cap-rate analysis for ZIP 33182 in Tamiami, FL, reveals interesting insights into the potential returns for landlords and small-portfolio investors. To begin, let's annualize the Fair Market Rent (FMR) and Zillow Rent Index (ZORI) figures for a 2-bedroom property. The FMR for a 2BR in ZIP 33182 for FY 2024 is set at $3180 per month, translating to an annual rent of $38,160. Meanwhile, the market rent as indicated by ZORI stands at $3,150 per month, equating to an annual rent of $37,800.
Given the median home value in ZIP 33182 is $667,870, we can calculate the implied gross yield for both scenarios. For the FMR scenario, the gross yield is approximately 5.72%, calculated as $38,160 divided by $667,870. In the case of the market rent scenario, the gross yield drops slightly to 5.66%, computed as $37,800 divided by $667,870. This minor difference highlights the close alignment between government-set rental rates and the local market conditions.
However, when considering the practical implications for landlords, the FMR scenario appears more realistic. With a renter density of only 18.8%, it suggests that the majority of residents in ZIP 33182 prefer homeownership over renting. This low rental demand could mean that achieving the market rent consistently might be challenging, making the FMR rate a safer and more reliable estimate for long-term investment planning.
Furthermore, the N/A-day Days on Market (DOM) indicates that there isn't sufficient data to provide an accurate average time it takes for a rental property to be occupied. This lack of information about vacancy rates adds another layer of uncertainty to the market rent scenario. Given these factors, the FMR-based gross yield of 5.72% offers a clearer and more stable outlook for potential returns in ZIP 33182.
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.