Location: Garfield County, UT | Metro: Garfield County, UT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,110 |
| 1 Bedroom | $1,360 |
| 2 Bedrooms | $1,480 |
| 3 Bedrooms | $2,000 |
| 4 Bedrooms | $2,450 |
| 5 Bedrooms | $2,842 |
| 6 Bedrooms | $3,183 |
| 7 Bedrooms | $3,438 |
| 8 Bedrooms | $3,610 |
U.S. Census Bureau data (2024)
A skeptical investor might question whether the Fair Market Rent (FMR) of $1,140 for ZIP 84726 will sufficiently cover the mortgage on a home. The data does not provide specific mortgage figures, but it is important to note that FMRs are set based on the 40th percentile of market rents, meaning that $1,140 represents a below-average rent level. Therefore, if a property's market rent exceeds this figure, the landlord could potentially earn more.
The investor might also be concerned about the low renter demand at 29.2%. This percentage indicates the share of households that rent, which is indeed lower than the national average. However, the low percentage does not necessarily mean poor investment potential. In areas with significant homeowner populations, the demand for rental properties can still be steady due to seasonal tourism, short-term residents, or those seeking temporary housing.
Another objection could be whether Housing Choice Vouchers will keep pace with market rents of $1,656. While the FMR for ZIP 84726 is lower, the voucher amount can vary based on household income and other factors. The HUD FMR lookup tool shows that the voucher payment standard is adjusted annually and is designed to cover the cost of housing in the local market. However, it is crucial to monitor these adjustments closely as they can impact the profitability of rental investments.
In conclusion, while the data presents some challenges, it also highlights opportunities. Investors should consider diversifying their portfolios to include properties that cater to both voucher recipients and higher-paying renters. Additionally, understanding the local market dynamics and trends is essential for making informed investment decisions in ZIP 84726.
Data Sources: FMR data from HUD (2027). 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.