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 | $2,300 |
| 1 Bedroom | $2,310 |
| 2 Bedrooms | $2,710 |
| 3 Bedrooms | $3,510 |
| 4 Bedrooms | $3,870 |
| 5 Bedrooms | $4,489 |
| 6 Bedrooms | $5,028 |
| 7 Bedrooms | $5,430 |
| 8 Bedrooms | $5,702 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,310 | $373,863 | 0.62% | D |
| 2BR | $2,710 | $664,885 | 0.41% | F |
| 3BR | $3,510 | $999,543 | 0.35% | F |
| 4BR | $3,870 | $1,533,006 | 0.25% | F |
| 5BR | $4,489 | $2,130,679 | 0.21% | F |
U.S. Census Bureau data (2024)
1740 is the Fair Market Rent (FMR) for ZIP code 33957, set for fiscal year 2024. 811 is the average market rent reported by the Census Bureau's American Community Survey, indicating a significant gap between FMR and actual market rates. 802,748 represents the median home value in this area, which is notably high and suggests strong property appreciation potential. 10.1% is the proportion of renters in the area, a figure that underscores the limited demand for rental properties compared to owner-occupied homes. 108,644 is the median income level, which, while decent, still falls below the FMR threshold, suggesting that many residents will require some form of housing assistance. 103 days is the typical duration on the market before a property sells, known as the Days on Market (DOM), implying that the local real estate market moves at a moderate pace. 0.2% is the share of listings that experienced price cuts, indicating a stable market where sellers generally achieve their asking prices without concessions.
The disparity between the FMR at 1740 and the average market rent at 811 highlights an opportunity for landlords participating in the Section 8 program. The high median home value of 802,748 points to a robust local economy capable of supporting real estate investments. However, the relatively low renter share of 10.1% means that landlords must carefully target their offerings to attract tenants who qualify for Section 8. The median income of 108,644 provides insight into the financial capacity of the local population but also reveals that many may struggle to afford market rents without assistance. With a DOM of 103 days and a price-cut share of 0.2%, it is evident that the market is steady, favoring those who can offer competitive, well-maintained rental units.
Given these factors, landlords and small-portfolio investors in ZIP code 33957 should consider the benefits of the Section 8 program, as it can provide a reliable stream of income in a market where traditional rental rates may be challenging for many residents to meet. The verdict on Section 8 participation in this area is positive, especially for those willing to invest in quality properties that can command the higher FMR rates.
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.