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 | $1,630 |
| 1 Bedroom | $1,700 |
| 2 Bedrooms | $2,020 |
| 3 Bedrooms | $2,650 |
| 4 Bedrooms | $2,970 |
| 5 Bedrooms | $3,445 |
| 6 Bedrooms | $3,858 |
| 7 Bedrooms | $4,167 |
| 8 Bedrooms | $4,375 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,650 | $506,941 | 0.52% | F |
U.S. Census Bureau data (2024)
The analysis of ZIP code 80137 reveals a unique blend of yield and stability that positions it as a moderate opportunity for landlords and small-portfolio investors.
On the yield axis, the Fair Market Rent (FMR) for ZIP 80137 stands at $1760 for fiscal year 2024. This figure is notably higher than the average market rent, which is currently unavailable, indicating strong potential for rental income. However, when compared to the median home value of $540,835, the FMR suggests a relatively low yield. The high FMR is a positive indicator for rental properties but does not compensate for the high purchase cost of homes in this area.
Moving to the stability axis, the percentage of renters is only 2.0%, which is quite low. This implies that the majority of residents in ZIP 80137 own their homes rather than renting, potentially leading to less demand for rental properties. Additionally, the median household income of $134,890 is substantial, suggesting financial stability among residents. However, the lack of data on days-on-market (DOM) for rentals makes it difficult to assess how quickly properties can be leased or if there is a consistent turnover rate.
Given these factors, ZIP 80137 does not qualify as a high-yield/low-stability flip-style market due to the absence of significant fluctuations in rental demand and the high median home value. It also doesn't fully fit into the steady-cashflow category because of the low percentage of renters and the incomplete data on DOM.
Conclusion: ZIP 80137 presents an investment scenario that leans towards a balance between yield and stability. The high FMR of $1760 offers decent cash flow, while the substantial median income of $134,890 supports stable tenant payments. However, the low renter population and limited data on rental turnover rates suggest that this area is not ideal for flipping properties or generating exceptionally high yields relative to property values.
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.