Location: Orlando-Kissimmee-Sanford, FL | Metro: Orlando-Kissimmee-Sanford, 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 | $2,080 |
| 1 Bedroom | $2,180 |
| 2 Bedrooms | $2,490 |
| 3 Bedrooms | $3,120 |
| 4 Bedrooms | $3,690 |
| 5 Bedrooms | $4,280 |
| 6 Bedrooms | $4,794 |
| 7 Bedrooms | $5,178 |
| 8 Bedrooms | $5,437 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,490 | $290,255 | 0.86% | C |
| 3BR | $3,120 | $350,157 | 0.89% | C |
| 4BR | $3,690 | $400,639 | 0.92% | C |
| 5BR | $4,280 | $460,612 | 0.93% | C |
U.S. Census Bureau data (2024)
The analysis for landlords and small-portfolio investors in ZIP code 34773, which encompasses Saint Cloud, FL, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent, known as the Zillow Rent Index (ZORI). For fiscal year 2024, the FMR stands at $2560, while the ZORI indicates a market rent of $2411. This means that the FMR is $149 higher than the market rent, representing a 6.2% premium.
In this context, landlords who accept Section 8 vouchers can benefit from a yield play. The higher FMR allows them to receive a subsidy that compensates for the lower market rent. This subsidy effectively covers the difference between the actual rent they would charge and the FMR, ensuring a steady and predictable income stream that aligns with the local economic conditions.
Saint Cloud, FL has a rental population of 10.2%, indicating a relatively low demand for rental properties compared to homeownership. With a median home value of $379,045 and a median household income of $80,524, it's clear that owning a home is financially accessible for many residents. However, the presence of Section 8 voucher holders provides an opportunity for landlords to tap into a segment of the population that may otherwise struggle to afford housing.
The cost of housing voucher tenants below open-market rates is offset by the federal government's commitment to pay the difference up to the FMR. This arrangement ensures that landlords are not disadvantaged by accepting voucher tenants. In fact, it stabilizes cash flows and reduces the risk associated with vacancy rates, making it a favorable option for those looking to invest in a stable rental market.
Given these figures, landlords in Saint Cloud should consider the benefits of participating in the Section 8 program. It not only provides a financial cushion but also supports the community by offering affordable housing options to those who need it most.
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.