Section 8 Fair Market Rent (FMR) for ZIP 34668 - 2027

Investment Score for ZIP 34668

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,410
1 Bedroom	$1,450
2 Bedrooms	$1,690
3 Bedrooms	$2,160
4 Bedrooms	$2,620
5 Bedrooms	$3,039
6 Bedrooms	$3,404
7 Bedrooms	$3,676
8 Bedrooms	$3,860

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$1,690	$209,795	0.81%	C
3BR	$2,160	$254,012	0.85%	C
4BR	$2,620	$285,254	0.92%	C

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 34668 (Port Richey, FL) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) figures for ZIP code 34668 in Port Richey, FL, for 2026 indicate that the maximum allowable rent for a two-bedroom unit is $1810. However, the actual median rent for a two-bedroom unit is significantly higher, as evidenced by the Zillow median price-to-FMR ratio of 9.7x. This suggests that the actual median rent for a two-bedroom unit is approximately $17,557 annually ($1463 monthly), which is well above the FMR limit of $1810. This disparity creates significant constraints for voucher holders, who are limited to paying no more than $1810 per month for a two-bedroom unit. Given that the average rent exceeds this amount, many voucher holders may struggle to find suitable housing within their budget. Additionally, the FMR for a three-bedroom unit is $2310, while the four-bedroom unit is $2820, further limiting options for families needing larger units. #### Affordability & Renter Profile The population of Port Richey is 49,442, with 37.2% of residents being renters. The median household income is $47,401, indicating a relatively modest economic base. With the FMR for a two-bedroom unit representing 45.8% of the median income, it is clear that a substantial portion of the population faces affordability challenges when seeking rental housing. Given the occupancy rate of 86.5%, the market appears to be moderately tight, suggesting that there is a consistent demand for rental properties. However, the high price-to-FMR ratio indicates that the rental market is skewed towards higher prices, making it difficult for lower-income households to find affordable housing. This tight market condition combined with high rents implies that there is a significant gap between what renters can afford and what landlords are willing to charge. #### Investor Angle From an investor perspective, the ZIP code 34668 presents a mixed scenario. The FMR for a two-bedroom unit is $1810, but the actual median rent is much higher, around $1463 per month. This means that properties rented at the FMR level would likely generate less revenue compared to the market average. To assess whether this ZIP code is cash-flow positive at FMR, we need to consider the typical expenses associated with property ownership. Assuming a mortgage payment of around $1000 per month (based on the Zillow median price of $210,386 and a 5% interest rate over 30 years), plus maintenance costs of $150 per month, insurance of $100 per month, and property taxes of $200 per month, the total monthly expenses would be approximately $1450. At an FMR of $1810, the net cash flow would be about $360 per month, which is positive but relatively thin given the high price-to-FMR ratio. In terms of investment grade, the high price-to-FMR ratio and the tight market conditions suggest that this ZIP code has a moderate risk profile. While there is strong demand for rental properties, the limited number of units that can be rented at FMR levels may reduce the attractiveness for investors focused solely on Section 8 vouchers. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high price-to-FMR ratio, investors should focus on smaller units such as one-bedroom or studio apartments. For example, the FMR for a one-bedroom unit is $1550, which is closer to the actual market rent of around $1200-$1300 per month. This would provide a better margin for cash flow and reduce the risk of vacancy. 2. **Target Affordable Housing Areas**: Within the ZIP code, there may be pockets where rents are closer to the FMR levels. Investors should conduct thorough neighborhood analysis to identify these areas. For instance, if a two-bedroom unit in a particular neighborhood rents for $1600 instead of $1463, the difference between FMR and market rent would be smaller, making it more feasible for voucher holders to find housing. 3. **Consider Multi-Family Properties**: Multi-family properties often have economies of scale that can make them more attractive investments even at FMR levels. A multi-family building with several one-bedroom or studio units could provide a more stable cash flow and reduce the risk of vacancy compared to single-family homes. #### Bottom Line For investors focusing on Section 8 vouchers, the recommendation for ZIP code 34668 is to **Hold**. While there are some opportunities, particularly in smaller units, the overall high price-to-FMR ratio and the tight market conditions make it challenging to find properties that can be rented at FMR levels without significant financial pressure. Investors should carefully evaluate the specific neighborhoods and property types before committing to any purchases.

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.