Location: Denver-Aurora-Centennial, CO | Metro: Denver-Aurora-Centennial, CO 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 | $1,880 |
| 1 Bedroom | $1,970 |
| 2 Bedrooms | $2,330 |
| 3 Bedrooms | $3,060 |
| 4 Bedrooms | $3,420 |
| 5 Bedrooms | $3,967 |
| 6 Bedrooms | $4,443 |
| 7 Bedrooms | $4,798 |
| 8 Bedrooms | $5,038 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,970 | $267,318 | 0.74% | D |
| 2BR | $2,330 | $354,432 | 0.66% | D |
| 3BR | $3,060 | $557,276 | 0.55% | F |
| 4BR | $3,420 | $671,389 | 0.51% | F |
| 5BR | $3,967 | $781,874 | 0.51% | F |
U.S. Census Bureau data (2024)
The rent math in ZIP 80128 does not favor landlords. The Fair Market Rent (FMR) set at $2420 for the fiscal year 2024 is higher than the actual market rent, which stands at $2,090 according to ZORI. This discrepancy suggests that landlords may struggle to justify higher rents to tenants based on the current market conditions.
Acquisition in ZIP 80128 is relatively affordable given the median home value of $602,621. The average days on market (DOM) for properties is only 16 days, indicating a brisk sales pace. Additionally, the low price-cut share of 0.3% implies that homes are selling close to their asking prices, which is beneficial for both buyers and sellers entering the market.
Tenant demand in ZIP 80128 is moderate. With a population of 36,712, the area has a 15.7% renter share, suggesting that while there are renters, the competition for tenants could be stiff due to the limited number of rental units relative to the total housing stock.
Verdict: ZIP 80128 presents a mixed picture for landlords and small-portfolio investors. While the acquisition cost is reasonable and homes sell quickly without significant price reductions, the actual market rent is below the FMR, which could make it challenging to cover expenses. Tenant demand is present but not overwhelming, implying that landlords must offer competitive pricing and amenities to attract and retain renters. Overall, the area requires careful management to ensure profitability.
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.