Section 8 Fair Market Rent (FMR) for ZIP 85305 - 2027

Location: Phoenix-Mesa-Chandler, AZ | Metro: Phoenix-Mesa-Chandler, AZ MSA

Investment Score for ZIP 85305

D
Monthly Rent (2BR)
$2,020
Median Price (2BR)
$306,870
1% Rule
0.66%
Annual Yield
7.9%

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$1,620
1 Bedroom$1,740
2 Bedrooms$2,020
3 Bedrooms$2,660
4 Bedrooms$2,960
5 Bedrooms$3,434
6 Bedrooms$3,846
7 Bedrooms$4,154
8 Bedrooms$4,362

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $2,020 $306,870 0.66% D
3BR $2,660 $416,464 0.64% D
4BR $2,960 $494,253 0.6% F
5BR $3,434 $607,581 0.57% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
18,043
Median Household Income
$88,167
Housing Units
6,997
Renter Percentage
49.5%
Occupancy Rate
94.3%
Renter Occupied
3,270

The ZIP code 85305 in Glendale, Arizona, stands out within Maricopa County due to its unique demographic and economic profile. With a population of 18,043 residents, it has a significant rental market, with 49.5% of the population renting their homes. The median income here is $88,167, which is notably higher than the national average, indicating a relatively affluent community. However, the median home value of $465,079 suggests that homeownership remains a substantial investment, likely contributing to the strong rental demand.

When it comes to Section 8 vouchers, the Fair Market Rent (FMR) for the zip code for fiscal year 2024 is set at $2,120. This is significantly above the market rent, as indicated by the Zillow Observed Rent Index (ZORI), which is currently at $1,647. This gap between FMR and market rent presents a lucrative opportunity for landlords and small-portfolio investors who can take advantage of the higher subsidy rates to cover the costs of maintaining properties at a higher standard. The difference of $473 per month can be a deciding factor for many landlords when considering participation in the Section 8 program.

The data signature for ZIP 85305 reads as stable. The high median income supports a robust rental market, and the large number of renters indicates a consistent demand for affordable housing options. Given the disparity between the FMR and the ZORI, landlords can expect steady and reliable income through the Section 8 program without the risk of frequent changes in tenant demographics or market conditions. For small-portfolio investors, this stability means less volatility and more predictable cash flows, making Glendale a solid choice for long-term investments in subsidized housing.

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.