Section 8 Fair Market Rent (FMR) for ZIP 84770 - 2027

Investment Score for ZIP 84770

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,180
1 Bedroom	$1,180
2 Bedrooms	$1,550
3 Bedrooms	$2,030
4 Bedrooms	$2,530
5 Bedrooms	$2,935
6 Bedrooms	$3,287
7 Bedrooms	$3,550
8 Bedrooms	$3,728

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$1,180	$221,613	0.53%	F
2BR	$1,550	$292,562	0.53%	F
3BR	$2,030	$446,260	0.45%	F
4BR	$2,530	$614,500	0.41%	F
5BR	$2,935	$750,120	0.39%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 84770 (Saint George, UT) #### Section 8 Voucher Dynamics In Saint George, UT (ZIP 84770), the Fair Market Rent (FMR) for a two-bedroom apartment is set at $1500 per month for the year 2026. This represents 25.7% of the median household income of $70,024. However, the actual rental market in this area is significantly higher, with the Zillow median price for a two-bedroom home being $296,253. The price-to-FMR ratio of 16.5x indicates that the actual rent for a two-bedroom property is likely to be much higher than the FMR, which can pose significant challenges for tenants using Section 8 vouchers. The constraints faced by voucher holders include finding landlords willing to accept the FMR rates, which are lower than the market rates. For example, a landlord renting a two-bedroom unit at the Zillow median price would expect a monthly rent of approximately $1200 based on the typical mortgage payment, utilities, and maintenance costs. This is already above the FMR of $1500, suggesting that voucher holders might struggle to find suitable housing unless they can negotiate with landlords who are willing to accept the voucher rate. #### Affordability & Renter Profile Saint George has a population of 48,397, with 39.6% of residents being renters. This high percentage of renters suggests a robust demand for rental properties in the area. The occupancy rate of 82.1% further supports the idea that the rental market is relatively tight, with most available units being occupied. Given the median household income of $70,024, it is clear that many residents rely on affordable housing options. The FMR for a three-bedroom unit is $1970, which is 28.05% of the median income. This makes it challenging for families earning close to the median income to afford larger units without assistance. The high rent-to-income ratio indicates that the market is not particularly affordable for average earners, especially those relying solely on their income to cover housing costs. #### Investor Angle From an investor perspective, the ZIP code 84770 presents both opportunities and challenges. The FMR for a two-bedroom unit is $1500, while the actual market rent is expected to be higher due to the price-to-FMR ratio. To determine if this ZIP code is cash-flow positive at FMR, we need to consider the typical expenses associated with owning and managing a rental property. Assuming a two-bedroom unit is purchased at the Zillow median price of $296,253, the monthly mortgage payment would be around $1200 based on a 30-year fixed-rate mortgage at an interest rate of 5%. Adding typical operating expenses such as property taxes, insurance, and maintenance, the total monthly cost could range from $1400 to $1600. Given that the FMR is $1500, this suggests that the property would break even or have a slight negative cash flow at the FMR rate. However, the investment grade of the ZIP code depends on several factors, including the willingness of landlords to accept Section 8 vouchers and the overall demand for rental properties. Despite the tight market, the high price-to-FMR ratio suggests that there is a significant gap between the FMR and market rents, which could make it difficult for investors to find tenants willing to pay only the FMR. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high price-to-FMR ratio, investors should focus on smaller units like one-bedroom apartments, where the FMR is $1160. This aligns better with the typical mortgage payment and operating costs, potentially leading to positive cash flow. Additionally, the demand for smaller units is often higher among single individuals or couples who might be more flexible in accepting lower rents. 2. **Negotiate with Landlords**: Investors should engage in negotiations with potential landlords to understand their willingness to accept Section 8 vouchers. Some landlords might be more inclined to work with voucher holders if they can secure long-term tenancy and stable income. Offering incentives such as a higher initial rent or a longer lease term could help bridge the gap between market rates and FMR. 3. **Consider Government Programs**: Utilizing government programs that offer additional subsidies or tax benefits for affordable housing can improve the financial viability of investments in this ZIP code. For instance, the Low-Income Housing Tax Credit (LIHTC) program provides tax credits to developers who build affordable housing units, which can offset some of the financial risks associated with renting at FMR. #### Bottom Line For Section 8-focused investors, the ZIP code 84770 presents a challenging environment due to the high price-to-FMR ratio and the tight rental market. While there is significant demand for rental properties, the financial constraints imposed by the FMR make it difficult to achieve positive cash flow. Therefore, the recommendation is to **Skip** this ZIP code for now unless investors can find ways to reduce costs or secure additional subsidies to make the investment financially viable. In summary, the high market rents relative to FMR, combined with the tight occupancy rate, suggest that the rental market in Saint George, UT is not favorable for investors primarily targeting Section 8 voucher holders.

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.