Location: Punta Gorda, FL | Metro: Punta Gorda, 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 | $1,160 |
| 1 Bedroom | $1,270 |
| 2 Bedrooms | $1,660 |
| 3 Bedrooms | $2,250 |
| 4 Bedrooms | $2,690 |
| 5 Bedrooms | $3,120 |
| 6 Bedrooms | $3,494 |
| 7 Bedrooms | $3,774 |
| 8 Bedrooms | $3,963 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,270 | $94,567 | 1.34% | A |
| 2BR | $1,660 | $199,796 | 0.83% | C |
| 3BR | $2,250 | $362,429 | 0.62% | D |
| 4BR | $2,690 | $408,455 | 0.66% | D |
U.S. Census Bureau data (2024)
The analysis of the Section 8 program in ZIP code 33947, specifically Rotonda West, FL, reveals a significant gap between the Fair Market Rent (FMR) set by the government and the actual market rent. For fiscal year 2024, the FMR is set at $1510, whereas the market rent, measured by the Zillow Rent Index (ZORI), stands at $2356. This means that the FMR is $846 lower than the market rent, representing a 35.9% discount off the open-market rate.
In this context, landlords and small-portfolio investors should understand that accepting Section 8 vouchers can lead to a lower rental income compared to what they could potentially earn in the open market. The discrepancy between the FMR and ZORI suggests that voucher holders will be paying approximately $1510 per month, which is well below the average market rent of $2356. This gap translates into a financial decision where landlords must weigh the benefits of steady, government-backed rental income against the potential for higher yields from market-rate tenants.
The cost of housing voucher tenants below open-market rates is evident in the reduced monthly income. However, there are other factors to consider. With only 14.0% of residents renting, the demand for rental properties might be lower compared to areas with a higher percentage of renters. Additionally, the median home value of $344,359 and median income of $80,091 indicate a relatively affluent area. These figures suggest that while the rental market may be smaller, it also has a strong underlying economic foundation.
Accepting Section 8 vouchers in Rotonda West, FL, is a strategic choice that aligns with the local economic conditions. It ensures a stable tenant base with guaranteed income, albeit at a lower rate than the market. For investors looking to enter a less competitive but economically sound rental market, this could present an opportunity to secure long-term, low-risk investments.
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.