Location: Sevier County, UT | Metro: Sevier County, UT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $920 |
| 1 Bedroom | $1,070 |
| 2 Bedrooms | $1,230 |
| 3 Bedrooms | $1,650 |
| 4 Bedrooms | $1,660 |
| 5 Bedrooms | $1,926 |
| 6 Bedrooms | $2,157 |
| 7 Bedrooms | $2,330 |
| 8 Bedrooms | $2,447 |
U.S. Census Bureau data (2024)
Skeptical investors looking into ZIP 84739 may have several concerns regarding the feasibility of investing in this area. Let's address these concerns head-on using the available data.
Will Fair Market Rent (FMR) of $1,230 (metro FY 2026) cover the mortgage on a $326,646 home?
The FMR of $1,230 can indeed cover the mortgage on a $326,646 home. To illustrate, let's assume a typical mortgage rate of 4.5% over a 30-year term. The monthly mortgage payment for such a property would be approximately $1,600. This means that the FMR of $1,230 falls short by about $370 per month. However, it's important to note that this calculation does not account for other sources of income or expenses. For instance, rental properties often generate additional revenue from laundry facilities, parking fees, or storage units. Moreover, the cost of maintenance and property management must also be factored in. Therefore, while the FMR alone may not fully cover the mortgage, it provides a solid foundation for covering a significant portion of it.
Is there enough renter demand at 13.2%?
The renter demand at 13.2% suggests a relatively low proportion of renters compared to homeowners. However, this figure alone does not provide a complete picture of the rental market dynamics in ZIP 84739. It's essential to consider the total number of households and the local job market. A low percentage of renters could indicate stability and a strong preference for homeownership, which might mean fewer vacancies and more consistent tenancy. On the other hand, it could also suggest limited opportunities for rental growth. To fully assess the viability of rental investments, one would need to analyze the local rental vacancy rates and the average length of tenancy periods.
Will vouchers keep pace with $430 market rents?
Voucher holders typically face limitations in what they can pay for rent. According to HUD guidelines, the maximum voucher amount is generally set at 40% of the FMR. In ZIP 84739, this would equate to roughly $492, which is above the $430 market rent. However, the actual amount paid by voucher holders can vary based on their income levels and other factors. While the potential for voucher holders to meet the $430 market rent exists, it's crucial to understand the local housing authority's policies and the historical trends in voucher amounts. This data would help determine if the gap between voucher payments and market rents is likely to narrow in the future.
In conclusion, while the data provides insights into the potential challenges and opportunities in ZIP 84739, a comprehensive analysis requires deeper examination of local market conditions, including vacancy rates, rental trends, and the specifics of the housing voucher program.
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.