Location: Phoenix-Mesa-Chandler, AZ | Metro: Phoenix-Mesa-Chandler, AZ MSA
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 | $2,000 |
| 1 Bedroom | $2,150 |
| 2 Bedrooms | $2,490 |
| 3 Bedrooms | $3,320 |
| 4 Bedrooms | $3,680 |
| 5 Bedrooms | $4,269 |
| 6 Bedrooms | $4,781 |
| 7 Bedrooms | $5,163 |
| 8 Bedrooms | $5,421 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,490 | $780,736 | 0.32% | F |
| 3BR | $3,320 | $1,278,108 | 0.26% | F |
| 4BR | $3,680 | $1,830,996 | 0.2% | F |
| 5BR | $4,269 | $2,365,832 | 0.18% | F |
U.S. Census Bureau data (2024)
The ZIP code 85262 in Scottsdale, Arizona, stands out within Maricopa County due to its affluent demographic and high property values. With only 3.1% of its 14,329 residents renting, it reflects a community where homeownership is prevalent. The median income of $177,790 is significantly higher than the national average, indicating a wealthy population. This is further underscored by the median home value of $1,531,686, which is among the highest in the state.
Despite the high median home value, the rental market dynamics are influenced by the Federal Market Rent (FMR) and the Zillow Rent Index (ZORI). For fiscal year 2024, the FMR for ZIP 85262 is set at $2,820, while the market rent, as indicated by ZORI, is $4,733. This significant gap between the FMR and the actual market rent highlights the economic reality faced by landlords who accept Section 8 vouchers. Landlords should be prepared to consider the lower reimbursement rates when deciding whether to participate in the program, as the difference can impact their bottom line.
Based on the data signature of ZIP 85262, the area appears to be stable rather than transitional. The low percentage of renters and high median income suggest a mature, established neighborhood with little indication of rapid change. However, small-portfolio investors must still be cautious and aware of the financial implications of accepting Section 8 vouchers, given the disparity between the FMR and market rents.
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.