Section 8 Fair Market Rent (FMR) for ZIP 33415 - 2027

Investment Score for ZIP 33415

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	$1,760
1 Bedroom	$1,860
2 Bedrooms	$2,170
3 Bedrooms	$2,820
4 Bedrooms	$3,250
5 Bedrooms	$3,770
6 Bedrooms	$4,222
7 Bedrooms	$4,560
8 Bedrooms	$4,788

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	$1,860	$94,374	1.97%	A+
2BR	$2,170	$203,553	1.07%	B
3BR	$2,820	$364,384	0.77%	D
4BR	$3,250	$497,482	0.65%	D
5BR	$3,770	$621,224	0.61%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 33415 (West Palm Beach, FL) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) figures for ZIP code 33415, as set by HUD for 2026, indicate that a two-bedroom unit should rent for $2,130. However, the actual market rent for a two-bedroom unit is significantly higher, at approximately $206,262 according to Zillow's median price. This translates to a monthly rental cost of about $1,719, which is still notably above the FMR. The price-to-FMR ratio stands at 8.1x, meaning that the market rent is nearly eight times the FMR. This discrepancy suggests that Section 8 voucher holders face significant constraints when trying to find suitable housing within their budget. For instance, a voucher holder would have to find a landlord willing to accept a rent of $2,130, which is only 123% of the Zillow median price, making it challenging given the high demand and limited supply of affordable units. #### Affordability & Renter Profile ZIP code 33415 has a population of 54,581, with 41.5% being renters. This indicates a substantial rental market, but the occupancy rate of 91.0% suggests that the market is relatively tight, with few vacant units available. Given the median household income of $61,274, the affordability of housing becomes a critical issue. A two-bedroom unit renting at $2,130 represents 41.7% of the median income, which is already a considerable portion. Therefore, the actual market rent of $1,719 still poses a financial burden on many residents, especially those relying solely on their income without additional subsidies. The tight market conditions mean that there is likely a competitive environment for rental properties, making it difficult for lower-income individuals to secure housing without assistance. #### Investor Angle From an investor perspective, the ZIP code 33415 presents both opportunities and challenges. The FMR for a two-bedroom unit is $2,130, which is below the market rent of $1,719. However, considering the price-to-FMR ratio of 8.1x, the actual purchase price of a two-bedroom unit is around $206,262. This makes the initial investment quite high, but if the investor can secure tenants through Section 8 vouchers, they could potentially achieve positive cash flow. To determine the investment grade, we need to consider factors such as vacancy rates, property management costs, and potential appreciation. With an occupancy rate of 91.0%, the risk of vacancies is relatively low, but the high price-to-FMR ratio implies that the property might be overpriced compared to the subsidy amount. Thus, while the market is favorable for finding tenants, the investment grade would be moderate due to the high purchase price relative to the FMR. #### Specific Actionable Insights 1. **Focus on Units Below FMR**: Investors should seek out properties that rent below the FMR of $2,130 for a two-bedroom unit. This would ensure that the rental income aligns closely with the voucher amount, reducing the financial strain on tenants and increasing the likelihood of securing long-term, stable tenancies. For example, targeting units priced around $1,800-$2,000 could make them more attractive to voucher holders. 2. **Consider Smaller Units**: Given the high price-to-FMR ratio, smaller units like one-bedroom apartments, which have an FMR of $1,800, might offer better cash flow opportunities. These units are generally less expensive to purchase and maintain, and the FMR is closer to the actual market rent, potentially leading to a more balanced investment scenario. 3. **Engage with Local Housing Authorities**: Building relationships with local housing authorities can help streamline the process of obtaining and managing Section 8 vouchers. This can reduce administrative overhead and improve the chances of securing tenants quickly, thereby minimizing vacancy periods and maximizing returns. #### Bottom Line For Section 8-focused investors, the recommendation for ZIP code 33415 is to **Hold**. While the market offers good occupancy rates and a sizeable rental population, the high purchase prices relative to the FMR make it challenging to achieve optimal cash flow. Investors should carefully evaluate the specific properties and consider focusing on units that are slightly below the FMR to balance the financial demands of the market with the benefits of steady, subsidized rental income.

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.