Section 8 Fair Market Rent (FMR) for ZIP 33880 - 2027

Investment Score for ZIP 33880

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	$1,130
1 Bedroom	$1,200
2 Bedrooms	$1,440
3 Bedrooms	$1,980
4 Bedrooms	$2,410
5 Bedrooms	$2,796
6 Bedrooms	$3,132
7 Bedrooms	$3,383
8 Bedrooms	$3,552

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	$1,200	$100,461	1.19%	B
2BR	$1,440	$161,514	0.89%	C
3BR	$1,980	$250,779	0.79%	D
4BR	$2,410	$310,067	0.78%	D
5BR	$2,796	$370,145	0.76%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 33880 (Winter Haven, FL) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for Winter Haven, FL (ZIP 33880), as of 2026, is set at $1340 for a two-bedroom unit. This figure represents 28.5% of the median household income in the area, which stands at $56,390. However, it is important to note that the actual rental market in Winter Haven is significantly higher than the FMR. For instance, the Zillow median price for a two-bedroom property is $165,160, translating to a price-to-FMR ratio of 10.3x. This suggests that landlords who participate in the Section 8 program might face challenges in covering their costs due to the discrepancy between the FMR and the actual market rent. Given the high price-to-FMR ratio, voucher holders in Winter Haven face significant constraints. The FMR does not reflect the true cost of renting in the area, meaning that many landlords may be reluctant to accept vouchers due to insufficient rent coverage. Consequently, tenants with Section 8 vouchers may struggle to find affordable housing options that align with their financial capabilities. #### Affordability & Renter Profile Winter Haven has a population of 43,371, with 33.4% of residents being renters. This indicates a substantial demand for rental properties, but the occupancy rate of 88.7% suggests that the market is relatively tight. With a median household income of $56,390, many renters in the area may find it challenging to afford market-rate rentals, especially given the high price-to-FMR ratio. The FMR for a two-bedroom unit is only $1340, which is far below the market median rent. This implies that the rental market is likely to be competitive, with many potential tenants unable to meet the actual rental prices without assistance. Therefore, the market appears to be somewhat undersupplied relative to the needs of low-income renters, particularly those relying on Section 8 vouchers. #### Investor Angle From an investor perspective, the ZIP code 33880 presents mixed opportunities. While the FMR provides a baseline for rental rates, the actual market rents are substantially higher. For example, a two-bedroom unit priced at $165,160 would have a monthly mortgage payment of approximately $771 based on a 30-year fixed-rate mortgage at 4.5%. Adding property taxes, insurance, and maintenance costs, the total monthly expenses could easily exceed the FMR of $1340. This means that investors relying solely on FMR to cover their costs would likely face negative cash flow scenarios. To achieve positive cash flow, investors would need to either increase the rental rate above the FMR or seek alternative funding sources such as government subsidies or other forms of financial assistance. The investment grade for this ZIP code can be considered moderate to low, primarily due to the high price-to-FMR ratio and the likelihood of negative cash flow for properties rented at FMR levels. Investors should carefully consider these factors before entering the market. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high price-to-FMR ratio, investors might want to focus on smaller units like one-bedroom or studio apartments. These units typically have lower FMRs and might be more manageable in terms of cash flow. For instance, the FMR for a one-bedroom unit is $1100, which is still below the market median but closer to covering basic expenses. 2. **Seek Government Subsidies**: To mitigate the risk of negative cash flow, investors should explore additional government subsidies beyond just the Section 8 vouchers. Programs like Low-Income Housing Tax Credits (LIHTC) or other local incentives could help bridge the gap between the FMR and actual market rents. 3. **Consider Property Value Appreciation**: Although the current rental market is challenging, the potential for property value appreciation should not be overlooked. The median home value in Winter Haven is $165,160, and if the market continues to grow, investors could see significant gains over time. This long-term strategy might offset short-term cash flow issues. #### Bottom Line For Section 8-focused investors, the recommendation for ZIP 33880 (Winter Haven, FL) is to **Skip** this market. The high price-to-FMR ratio and the tight rental market make it difficult to achieve positive cash flow while maintaining affordability for voucher holders. Additionally, the constraints faced by voucher holders in finding suitable housing suggest that there may be limited demand for properties rented at FMR levels. However, for investors willing to explore alternative funding sources or those with a longer-term investment horizon, there might be opportunities to enter the market cautiously. In such cases, focusing on smaller units and seeking additional subsidies could improve the viability of investments in this area.

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.