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 | $1,460 |
| 1 Bedroom | $1,640 |
| 2 Bedrooms | $1,970 |
| 3 Bedrooms | $2,620 |
| 4 Bedrooms | $3,000 |
| 5 Bedrooms | $3,480 |
| 6 Bedrooms | $3,898 |
| 7 Bedrooms | $4,210 |
| 8 Bedrooms | $4,421 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,970 | $427,673 | 0.46% | F |
| 3BR | $2,620 | $491,464 | 0.53% | F |
| 4BR | $3,000 | $488,071 | 0.61% | D |
| 5BR | $3,480 | $544,364 | 0.64% | D |
U.S. Census Bureau data (2024)
The median income in ZIP 84128, West Valley City, Utah, stands at $110,726. This figure provides a benchmark for assessing the financial capability of households to cover the market rate rent, which is set at $1,628 per month (ZORI).
Comparatively, the Fair Market Rent (FMR) for the area in fiscal year 2024 is $2,100. This is the maximum amount that Housing Choice Voucher (Section 8) recipients can be expected to pay towards their rent, with the remainder subsidized by the government.
In West Valley City, only 11.8% of the 32,126 population are renters, indicating a relatively low demand for rental properties. This means that landlords face less competition from other property owners compared to areas with higher percentages of renters.
The affordability gap between the median income and the market rate rent is significant. A household earning the median income would have to dedicate approximately 19% of their monthly income to rent at the market rate of $1,628. When considering the FMR of $2,100, this rises to around 25%. These percentages highlight the challenge many residents face in affording market-rate rents without assistance.
For landlords, the choice between accepting vouchers versus relying on cash-paying tenants is critical. While cash-paying tenants might offer a slightly higher immediate return due to the full rent being paid directly by the tenant, the lower percentage of renters suggests that there may not always be a steady supply of such tenants. On the other hand, voucher recipients provide a guaranteed income stream, albeit at a fixed rate, which could be beneficial in a competitive market.
The takeaway for landlords is that while accepting vouchers may mean receiving a lower rent payment, it ensures a stable income source in an area where finding willing and able cash-paying tenants could be challenging. Landlords should weigh the benefits of long-term stability against the potential for higher short-term returns when deciding on their tenant strategy.
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.