Location: Morgan County, CO | Metro: Morgan County, CO
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 | $1,000 |
| 1 Bedroom | $1,030 |
| 2 Bedrooms | $1,350 |
| 3 Bedrooms | $1,870 |
| 4 Bedrooms | $2,100 |
| 5 Bedrooms | $2,436 |
| 6 Bedrooms | $2,728 |
| 7 Bedrooms | $2,946 |
| 8 Bedrooms | $3,093 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,870 | $217,739 | 0.86% | C |
U.S. Census Bureau data (2024)
ZIP 80705, located in Morgan County, CO metro, is best suited as a cash-flow anchor within a Section 8 portfolio strategy. The median Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,060, which is significantly lower than the market rent of $1,385. This creates a spread that can be leveraged to ensure steady cash flow.
The median home value in ZIP 80705 is $216,344, indicating that the area is relatively affordable. This affordability is further supported by the fact that homes in the ZIP code were primarily built in the 1960s, suggesting an older housing stock that typically commands lower rents. With a median income of $56,786, residents have limited financial capacity, making them likely candidates for Section 8 assistance.
The low FMR compared to market rent means that landlords can offer competitive rents while still maintaining positive cash flow. Given the data, a landlord should expect to receive approximately $1,060 per month for a unit under the Section 8 program, whereas the market rent is $1,385. This $325 difference can be used to cover maintenance costs, property taxes, and other expenses, ensuring profitability even if the unit is occupied by a tenant receiving Section 8 benefits.
A cash-flow anchor is essential for any investment portfolio, providing stability and predictable returns. ZIP 80705 fulfills this role effectively, offering a safe and reliable investment option for landlords and small-portfolio investors looking to secure their financial future without taking on excessive risk.
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.