Location: Sevier County, UT | Metro: Sevier County, UT
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 | $760 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,370 |
| 4 Bedrooms | $1,400 |
| 5 Bedrooms | $1,624 |
| 6 Bedrooms | $1,819 |
| 7 Bedrooms | $1,965 |
| 8 Bedrooms | $2,063 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,370 | $306,161 | 0.45% | F |
| 4BR | $1,400 | $352,765 | 0.4% | F |
U.S. Census Bureau data (2024)
The Section 8 housing market in ZIP code 84701, located in Sevier County, UT metro, presents an interesting investment opportunity for landlords and small-portfolio investors. The HUD Fair Market Rent (FMR) for the area is set at $1,050 per month for fiscal year 2026, which is above the current market rent of $917 as reported by the Census ACS. This means that voucher tenants can cashflow positively at the HUD FMR rate, providing a stable income stream for investors.
To further analyze the investment potential, consider the median home value in the area, which stands at $335,341. Using this figure, we can calculate a rent-to-price ratio. Given the market rent of $917, the annual rent would be approximately $11,004. Dividing this by the median home value yields a rent-to-price ratio of about 0.0033, or 0.33%. This suggests that rental properties in ZIP 84701 are undervalued relative to their market rent, indicating a strong buy-to-rent dynamic.
The data does not provide a day median DOM (Days on Market) or a price-cut share percentage, but given the positive cashflow from voucher tenants and the undervalued nature of the rental market, these metrics are less critical. The primary focus should be on securing properties that align with the HUD FMR guidelines to ensure steady rental income.
The strongest investor angle in ZIP 84701 is cashflow. By leveraging the difference between the HUD FMR and the current market rent, landlords can achieve a positive cashflow with Section 8 tenants without needing to seek premium units. This makes the area particularly attractive for those looking to generate consistent passive income through rental investments.
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.