Location: Naples-Marco Island, FL | Metro: Naples-Marco Island, 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 | $1,720 |
| 1 Bedroom | $2,270 |
| 2 Bedrooms | $2,470 |
| 3 Bedrooms | $3,140 |
| 4 Bedrooms | $3,410 |
| 5 Bedrooms | $3,956 |
| 6 Bedrooms | $4,431 |
| 7 Bedrooms | $4,785 |
| 8 Bedrooms | $5,024 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,470 | $728,670 | 0.34% | F |
| 3BR | $3,140 | $1,179,928 | 0.27% | F |
| 4BR | $3,410 | $3,030,259 | 0.11% | F |
| 5BR | $3,956 | $5,551,077 | 0.07% | F |
U.S. Census Bureau data (2024)
The ZIP code 34108, located in Naples, Florida, presents a unique scenario for both renters and landlords. The median income in this area stands at $119,212, which is notably high. However, the market rate for rent, measured by the Zillow Observed Rent Index (ZORI), is $7,930 per month. This figure is significant when considering the financial capacity of households in the area.
When comparing the monthly rent to the household median income, it becomes apparent that the cost of living is quite high. A household would need to dedicate approximately 40% of their gross annual income to cover just the rent at the market rate. This is a substantial portion and could be challenging for many residents, despite the relatively high median income.
The situation changes considerably when looking at the Housing Choice Voucher Program, also known as Section 8. For fiscal year 2024, the Fair Market Rent (FMR) for the zip code is set at $2,000. This amount is significantly lower than the market rate, making it a more affordable option for low-income families who qualify for the program. The difference between the ZORI and the FMR highlights a considerable affordability gap, suggesting that many potential renters might find it difficult to pay market rates without assistance.
In ZIP 34108, only 14.0% of the population are renters, with a total population of 16,237. This means there are approximately 2,273 renters in the area. Given the high cost of living and the limited number of renters, landlords face stiff competition for tenants willing to pay the market rate. Landlords must consider whether they want to cater to the smaller pool of higher-income renters or participate in the voucher program to attract a larger segment of the market.
The takeaway for landlords is clear: while the market rate offers higher returns, the limited number of potential cash-paying tenants and the significant affordability gap suggest that participating in the voucher program could be a strategic move. By accepting vouchers, landlords can tap into a broader tenant base, ensuring better occupancy rates and stability. Additionally, the voucher payment of $2,000, though lower than the market rate, still represents a substantial monthly income and is guaranteed by the government, reducing the risk of unpaid rent.
Landlords should weigh these factors carefully and consider the long-term benefits of accepting vouchers over the short-term gains of renting at market rates. This decision will impact their ability to compete effectively in a market where affordability is a critical concern for many renters.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.