Location: Phoenix-Mesa-Chandler, AZ | Metro: Phoenix-Mesa-Chandler, AZ MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,400 |
| 1 Bedroom | $1,500 |
| 2 Bedrooms | $1,740 |
| 3 Bedrooms | $2,300 |
| 4 Bedrooms | $2,550 |
| 5 Bedrooms | $2,958 |
| 6 Bedrooms | $3,313 |
| 7 Bedrooms | $3,578 |
| 8 Bedrooms | $3,757 |
The analysis of ZIP code 85127 within the Phoenix-Mesa-Chandler, AZ MSA metro area reveals several key points that are crucial for landlords and small-portfolio investors.
Firstly, regarding the rent math, the Fair Market Rent (FMR) for the zip code in fiscal year 2024 is set at $1880. However, due to the lack of specific market rent data, it's challenging to provide a direct comparison. This suggests that while the FMR offers a benchmark, the actual performance will depend on local market conditions.
Secondly, the acquisition affordability is ambiguous without concrete data on the median home value, days on market (DOM), and the percentage of homes that have been listed with a price cut. These metrics would typically help determine if properties are being sold at affordable rates and how long they remain on the market, which are critical factors for potential acquisitions.
Lastly, concerning tenant demand, the absence of specific population figures and the percentage of renters in the area makes it difficult to gauge the size of the rental market and the proportion of residents who are likely to be tenants. Without these details, it's hard to assess whether there will be enough demand to sustain rental properties.
Verdict: The viability of investing in ZIP 85127 hinges on the unknowns surrounding market rent, median home values, days on market, and the percentage of renters. While the FMR provides a baseline at $1880, the missing data prevents a comprehensive assessment of acquisition costs and tenant demand. Landlords and small-portfolio investors should seek out detailed local market reports to fill in these gaps before making investment decisions.
Data Sources: FMR data from HUD (2027).
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.