Location: Salt Lake City, UT | Metro: Salt Lake City, UT HUD Metro FMR Area
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 | $1,160 |
| 1 Bedroom | $1,320 |
| 2 Bedrooms | $1,580 |
| 3 Bedrooms | $2,100 |
| 4 Bedrooms | $2,400 |
| 5 Bedrooms | $2,784 |
| 6 Bedrooms | $3,118 |
| 7 Bedrooms | $3,367 |
| 8 Bedrooms | $3,535 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,580 | $478,216 | 0.33% | F |
| 3BR | $2,100 | $682,408 | 0.31% | F |
| 4BR | $2,400 | $873,530 | 0.27% | F |
| 5BR | $2,784 | $1,136,601 | 0.24% | F |
U.S. Census Bureau data (2024)
Situated in Salt Lake County, Utah, ZIP code 84124, also known as Holladay, boasts a population of 22,609 residents. This area stands out due to its relatively low rental rate at 21.9%, indicating that a majority of the residents prefer homeownership. The median income in Holladay is $120,408, which is significantly higher than the national average, suggesting a prosperous community. The median home value in this ZIP code is $825,149, reflecting the high cost of living and the desirability of the area.
The economics of Section 8 vouchers in Holladay are noteworthy. The Fair Market Rent (FMR) for ZIP 84124 in fiscal year 2024 is set at $1,580, while the market rent, measured by the Zillow Rent Index (ZORI), is $1,995. This discrepancy highlights the potential challenges landlords face when participating in the Section 8 program, as the voucher amount is lower than the typical market rent. However, the high median income suggests that tenants may have additional resources to cover the gap between the voucher and market rates, making it a viable option for landlords.
Based on the data signature, ZIP 84124 appears to be a stable area. The high median income and home values indicate a strong local economy and a preference for homeownership among residents. While the rental rate is lower compared to other areas, the combination of a robust income level and reasonable rental subsidies makes it a secure investment for landlords and small-portfolio investors.
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.