Location: Cape Coral-Fort Myers, FL | Metro: Cape Coral-Fort Myers, FL MSA
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 | $1,470 |
| 1 Bedroom | $1,480 |
| 2 Bedrooms | $1,770 |
| 3 Bedrooms | $2,310 |
| 4 Bedrooms | $2,560 |
| 5 Bedrooms | $2,970 |
| 6 Bedrooms | $3,326 |
| 7 Bedrooms | $3,592 |
| 8 Bedrooms | $3,772 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,770 | $288,722 | 0.61% | D |
| 3BR | $2,310 | $398,256 | 0.58% | F |
| 4BR | $2,560 | $422,456 | 0.61% | D |
U.S. Census Bureau data (2024)
The dynamics of the ZIP 33920 real estate market, centered around Alva, FL, reveal a complex interplay between supply and demand. With a Fair Market Rent (FMR) of $1310 for the fiscal year 2024, it's clear that the government sets a benchmark significantly lower than the actual market rent, which stands at $2,077 according to the latest Census American Community Survey (ACS) data. This gap suggests that the market is robust, with rents reflecting a higher value than the government's estimate.
The low price-cut share of 0.3% indicates that landlords are generally not having to reduce their rental rates to attract tenants, a sign of a healthy market where demand meets or slightly exceeds supply. A median home value of $385,452 also points towards a stable housing market, where property values have held steady or increased. The Days on Market (DOM) figure of 84 days further supports this notion, as it is relatively short, implying that homes are selling quickly once they enter the market.
The 10.4% renter share in Alva, while not exceptionally high, still signals a significant portion of the population preferring to rent rather than buy. This trend can exert long-term pressure on the housing market, as it creates a consistent demand for rental properties. For landlords and small-portfolio investors, this means there is a reliable segment of the population seeking rental options, which can sustain a steady income stream from rental properties.
In summary, ZIP 33920 appears to be a market where demand is closely aligned with supply, but leans slightly towards favoring landlords and property owners. The relatively high market rent compared to FMR, coupled with low price-cut shares and quick sales, suggest a market in motion, moving towards equilibrium but with a slight bias towards tenant competition for available properties. This scenario provides a favorable environment for those looking to invest in rental properties, as it indicates a market capable of supporting rental pricing without necessitating frequent discounts.
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.