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 | $1,900 |
| 1 Bedroom | $1,980 |
| 2 Bedrooms | $2,350 |
| 3 Bedrooms | $3,080 |
| 4 Bedrooms | $3,450 |
| 5 Bedrooms | $4,002 |
| 6 Bedrooms | $4,482 |
| 7 Bedrooms | $4,841 |
| 8 Bedrooms | $5,083 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,980 | $306,231 | 0.65% | D |
| 2BR | $2,350 | $416,434 | 0.56% | F |
| 3BR | $3,080 | $544,078 | 0.57% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 80456, located in Jefferson, Colorado, within Park County, are governed by the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment, which is set at $1750 for the fiscal year 2024. This SAFMR rate is specifically tailored for this ZIP code, meaning it reflects the unique rental market conditions of 80456.
To understand how this works for landlords, let's break down the components of a voucher payment. A tenant's portion of the rent is typically 30% of their adjusted income. For example, if a tenant's adjusted income is $1,000 per month, they would be responsible for paying $300 towards the rent. The remaining amount is covered by the Section 8 voucher program, up to the SAFMR limit.
In addition to the base rent, there are utility allowances. These allowances vary but generally cover the cost of utilities such as electricity, gas, water, and sewer. For ZIP 80456, the utility allowance for a two-bedroom unit is $350 per month. This allowance is also paid directly by the government to the landlord, ensuring that tenants do not face additional financial burdens for utilities.
Let's illustrate with an example. If a landlord charges $1750 for a two-bedroom apartment, and the tenant's portion is $300, the government will pay the difference, which is $1400. Including the utility allowance of $350, the total reimbursement from the government would be $1750. This ensures that the landlord receives the full SAFMR amount, which is the maximum allowable rent under the program.
The SAFMR rate of $1750 is designed to reflect the average fair market rent for similar units in the same area, thus providing landlords with a stable and predictable income source. However, it's important to note that if the market rent for a two-bedroom unit exceeds $1750, the landlord will still only receive the SAFMR rate plus any applicable utility allowance. Conversely, if the market rent is below $1750, landlords may see a surplus in their monthly income from the voucher program.
In ZIP 80456, where the SAFMR is set at $1750, landlords can expect a steady stream of income that matches this rate, assuming the unit meets all eligibility requirements and quality standards. The reimbursement gap or surplus will depend on the actual market rents, which are currently unavailable. Once the local market rent becomes available, landlords can compare it against the SAFMR to determine whether they will need to subsidize any shortfall or benefit from a surplus.
Landlords should also be aware that the SAFMR can change annually based on the HUD (Department of Housing and Urban Development) assessments, so future adjustments might affect the reimbursement rates.
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.