Location: Pueblo, CO | Metro: Pueblo, 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 | $1,000 |
| 1 Bedroom | $1,120 |
| 2 Bedrooms | $1,440 |
| 3 Bedrooms | $1,840 |
| 4 Bedrooms | $2,160 |
| 5 Bedrooms | $2,506 |
| 6 Bedrooms | $2,807 |
| 7 Bedrooms | $3,032 |
| 8 Bedrooms | $3,184 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,440 | $243,129 | 0.59% | F |
| 3BR | $1,840 | $324,870 | 0.57% | F |
U.S. Census Bureau data (2024)
The analysis of ZIP code 81019, located in Colorado City, CO, within the Pueblo, CO MSA, reveals key insights into its viability for Section 8 landlords and small-portfolio investors. Firstly, the rent math does not favor Section 8 participation. The Fair Market Rent (FMR) for the zip code in fiscal year 2024 is set at $1200, which is below the average market rent of $1,270 as reported by the Census ACS. This means that landlords would receive less than the market rate if they choose to participate in the Section 8 program.
Secondly, regarding property acquisition, the median home value stands at $322,845. However, the lack of data on days on market (DOM) and the low percentage of homes that have experienced price cuts (0.3%) suggest that the housing market in this area is stable. This stability can be advantageous for investors looking to purchase properties without the risk of prolonged listings or significant price reductions.
Lastly, there is a notable tenant demand in the area. With a total population of 1,280, 28.4% of residents are renters. This indicates a consistent pool of potential tenants who might be interested in Section 8 housing. Despite the lower FMR compared to market rent, the presence of renters could still provide a steady occupancy rate for landlords willing to accept slightly lower rents.
In conclusion, while the rent math does not align perfectly with market conditions, making it less favorable for landlords seeking maximum rental income, the stability of the housing market and the presence of a significant number of renters make ZIP 81019 a viable option for those focused on long-term, stable investments. The median home value of $322,845 and a 28.4% renter share support the idea that this area offers a solid foundation for rental properties, even if the FMR of $1200 is slightly below the market rent of $1,270. Investors should weigh the benefits of stable occupancy against the slightly reduced rental income when deciding whether to pursue opportunities in this ZIP code.
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.