Location: West Palm Beach-Boca Raton, FL | Metro: West Palm Beach-Boca Raton, 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 | $2,550 |
| 1 Bedroom | $2,680 |
| 2 Bedrooms | $3,140 |
| 3 Bedrooms | $4,080 |
| 4 Bedrooms | $4,710 |
| 5 Bedrooms | $5,464 |
| 6 Bedrooms | $6,120 |
| 7 Bedrooms | $6,610 |
| 8 Bedrooms | $6,941 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,680 | $182,183 | 1.47% | A |
| 2BR | $3,140 | $444,874 | 0.71% | D |
| 3BR | $4,080 | $729,521 | 0.56% | F |
| 4BR | $4,710 | $1,163,442 | 0.4% | F |
| 5BR | $5,464 | $2,986,755 | 0.18% | F |
U.S. Census Bureau data (2024)
The classification of ZIP 33431 in Boca Raton, FL, hinges on the interplay between rental yield and market stability. The Fair Market Rent (FMR) for the fiscal year 2024 is set at $2,850, which is notably lower than the market rent of $3,010. This indicates that landlords can potentially achieve a higher-than-average rental yield in this area. However, the median home value stands at $640,932, suggesting a relatively expensive market entry cost.
Stability metrics paint a picture of a moderately secure rental environment. With 34.5% of residents being renters, there is a decent demand for rental properties. The days-on-market (DOM) figure of 56 days suggests that while properties take some time to rent out, they do not remain vacant for excessively long periods. Furthermore, the average household income of $107,896 supports the notion that tenants can afford to pay higher rents, contributing to financial stability.
Based on these figures, ZIP 33431 is best described as a steady-cashflow zone. The slightly above-average rental yield, coupled with a moderate vacancy rate and strong tenant income, points towards a market where landlords can expect consistent returns without the high risks associated with rapid turnover or unstable occupancy rates. While the initial investment required to enter this market is substantial due to the high median home value, the financial health of the local population ensures that rental income will be reliable and sufficient to cover mortgage payments and maintenance costs.
To summarize, the key figures driving this assessment include:
These factors collectively support the conclusion that ZIP 33431 offers a stable and predictable cash flow opportunity for landlords and small-portfolio investors.
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.