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 | $1,860 |
| 1 Bedroom | $1,880 |
| 2 Bedrooms | $2,200 |
| 3 Bedrooms | $2,860 |
| 4 Bedrooms | $3,160 |
| 5 Bedrooms | $3,666 |
| 6 Bedrooms | $4,106 |
| 7 Bedrooms | $4,434 |
| 8 Bedrooms | $4,656 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,200 | $281,322 | 0.78% | D |
| 3BR | $2,860 | $342,995 | 0.83% | C |
| 4BR | $3,160 | $413,821 | 0.76% | D |
| 5BR | $3,666 | $476,695 | 0.77% | D |
U.S. Census Bureau data (2024)
The median income in ZIP 33991, Cape Coral, Florida, stands at $84,470. This figure is crucial when evaluating the market rate for rentals, which currently sits at $1,805 per month (ZORI). For a household earning the median income, paying $1,805 monthly would consume a significant portion of their budget, potentially straining financial resources.
In contrast, the Fair Market Rent (FMR) for the area, set at $2,250 for fiscal year 2024, represents the upper limit for rental assistance through housing vouchers. This means that while some renters might find the ZORI rate manageable, others seeking government assistance will likely be looking for properties that fall under or near the $2,250 mark.
Given that 21.3% of the 27,725 population in Cape Coral are renters, there is a notable segment of the community that relies on affordable housing options. The disparity between the ZORI rate and the FMR indicates an affordability gap where landlords must decide whether to cater to voucher recipients or focus on cash-paying tenants.
The takeaway for landlords is clear: to maximize occupancy rates and appeal to a broader tenant pool, consider accepting vouchers. While voucher payments might be slightly lower than the market rate, they offer a stable source of income and access to a larger group of potential tenants who are financially supported to meet the rent. Landlords who adapt their strategies to accommodate both voucher and cash-paying tenants will likely have a competitive edge in the local rental market.
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.