Section 8 Fair Market Rent (FMR) for ZIP 33846 - 2027

FY 2027 Fair Market Rent Rates

To understand how Section 8 economics work in ZIP code 33846, which falls under Lakeland-Winter Haven County in Florida, it's crucial to start with the basics. The Section 8 program operates on Fair Market Rents (FMRs), which are used to determine the maximum rental assistance payment standard. For ZIP 33846, the SAFMR (Specific Area Fair Market Rent) for a two-bedroom apartment is set at $1250 for fiscal year 2024.

The SAFMR being specific to this ZIP code means that the rate is tailored to reflect the local housing market conditions accurately. However, the provided data does not specify the local market rent for ZIP 33846, making direct comparisons challenging without additional research.

A landlord participating in the Section 8 program receives a reimbursement based on the SAFMR minus the tenant's portion of the rent. The tenant is typically responsible for paying 30% of their adjusted income towards rent. Additionally, there are utility allowances that vary but can be significant in affecting the net amount received by the landlord.

For instance, if a tenant's portion of the rent is $375 (assuming their adjusted income is $1250), the remaining $875 would come from the government as part of the voucher program. Utility allowances can add an extra $150-$200 to the reimbursement, depending on the region and type of utilities included. Therefore, the total reimbursement to the landlord might range between $1025 and $1075 per month for a two-bedroom unit.

This calculation shows that the landlord will receive less than the full SAFMR due to the tenant's contribution and the utility allowance. In ZIP 33846, the reimbursement gap for a two-bedroom apartment is approximately $175-$225 per month, meaning the landlord will not receive the full SAFMR of $1250.

Investors and landlords must consider these factors when deciding whether to participate in the Section 8 program. While the program ensures timely payments, the reimbursement rates might not cover the full cost of market rent, especially if the local market rent exceeds the SAFMR. It's important to assess your property's value, maintenance costs, and other expenses against the potential reimbursement to ensure profitability.

In summary, for ZIP 33846, the SAFMR for a two-bedroom apartment is $1250, but the actual reimbursement to landlords will be lower due to the tenant's share and utility allowances. This results in a typical reimbursement gap of about $175-$225 per month.

Data Sources: FMR data from HUD (2027).

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.