Location: Washington County, CO | Metro: Logan 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 | $1,030 |
| 1 Bedroom | $1,060 |
| 2 Bedrooms | $1,390 |
| 3 Bedrooms | $1,660 |
| 4 Bedrooms | $1,830 |
| 5 Bedrooms | $2,123 |
| 6 Bedrooms | $2,378 |
| 7 Bedrooms | $2,568 |
| 8 Bedrooms | $2,696 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,390 | $171,631 | 0.81% | C |
| 3BR | $1,660 | $267,885 | 0.62% | D |
| 4BR | $1,830 | $297,343 | 0.62% | D |
U.S. Census Bureau data (2024)
Akron, CO, located in ZIP code 80720, presents a strategic investment opportunity for landlords interested in Section 8 properties. To determine if you should buy here, follow this decision tree based on the specific data provided.
Step 1: Can the Fair Market Rent (FMR) of $1,150 cover the debt service on a $253,003 property?
The annual FMR is $1,150 multiplied by 12 months, equating to $13,800 per year. To clear debt service, this amount must exceed the total yearly mortgage payment. For a $253,003 property, assuming a typical 30-year fixed-rate mortgage at an average interest rate of 4%, the monthly mortgage payment would be approximately $1,230, leading to an annual debt service of $14,760. Given these figures, the answer is No. The FMR does not cover the debt service on a $253,003 property.
Step 2: How does the market rent of $1,114 compare to the FMR?
The Census American Community Survey (ACS) reports that the market rent in Akron, CO is $1,114 per month. This figure is slightly below the FMR of $1,150. However, this alone does not determine the viability of a Section 8 investment; it's a key indicator of whether the local rental market supports the FMR.
Step 3: Is there sufficient demand from renters?
The data indicates that 26.3% of households in Akron, CO are renters. Unfortunately, the number of days on the market (DOM) for rental properties is listed as N/A, which means we cannot assess how quickly properties are rented out. Based on the renter percentage alone, there is a moderate level of demand. However, without knowing the DOM, it's challenging to fully evaluate the rental market's efficiency.
Decision:
In conclusion, while Akron, CO has a rental market that is close to supporting Section 8 investments, the key gating factor is the financial feasibility of the FMR covering the debt service on higher-priced properties. Landlords and investors must carefully weigh their options and possibly seek properties with lower acquisition costs to align with the FMR and market conditions.
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.