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: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,350 | $468,077 | 0.5% | F |
| 3BR | $3,080 | $622,742 | 0.49% | F |
U.S. Census Bureau data (2024)
Guffey, CO, located in ZIP code 80820, is a small, tight-knit community with a total population of 427 residents. Only 16.2% of the population are renters, indicating a primarily owner-occupied area. The median household income stands at $49,375, which suggests a middle-class neighborhood where most residents can afford modest homes. Indeed, the median home value in Guffey is $498,444, reflecting the local real estate market's pricing dynamics.
The Federal Market Rent (FMR) for ZIP code 80820 in fiscal year 2024 is set at $1,750. This figure represents the maximum amount that a landlord can charge for a rental unit under the Section 8 Housing Choice Voucher program. However, the market rent data for Guffey is currently unavailable, making it difficult to compare the FMR against typical rental prices in the area. Despite this lack of direct comparison, the low percentage of renters suggests that there might be limited demand for rental units, which could affect the occupancy rates for properties participating in the Section 8 program.
Given these conditions, Guffey, CO, may not be the ideal location for a hands-off Section 8 voucher operator. The small size of the rental market and the potential for lower occupancy rates mean that landlords would need to be more involved in managing their properties to ensure they attract and retain tenants. On the other hand, a hands-on value-add buyer could find opportunities to improve properties and make them more attractive to Section 8 participants, potentially increasing their rental income above the FMR while still providing affordable housing options.
To summarize, Guffey, CO, offers a unique challenge for Section 8 investors due to its small size and limited rental market. A hands-on approach will likely yield better results than a hands-off strategy, as landlords can take advantage of property improvements to enhance their offerings and manage occupancy effectively.
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.