Location: Prescott Valley-Prescott, AZ | Metro: Prescott Valley-Prescott, 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 | $1,100 |
| 1 Bedroom | $1,210 |
| 2 Bedrooms | $1,480 |
| 3 Bedrooms | $2,050 |
| 4 Bedrooms | $2,250 |
| 5 Bedrooms | $2,610 |
| 6 Bedrooms | $2,923 |
| 7 Bedrooms | $3,157 |
| 8 Bedrooms | $3,315 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,050 | $377,406 | 0.54% | F |
U.S. Census Bureau data (2024)
ZIP code 85324, located within the Prescott Valley-Prescott, AZ MSA, presents a unique profile when compared against typical ZIP codes in the same metropolitan area. The Fair Market Rent (FMR) for 85324 stands at $1160 for fiscal year 2024, which is a critical figure for landlords and investors interested in Section 8 housing opportunities.
The absence of market rent data for 85324 suggests that it may be less developed or have fewer rental properties compared to other ZIP codes in the region. However, the median home value of $373,520 provides a benchmark for understanding the overall property value within this ZIP code. This figure is likely reflective of the broader economic conditions and housing market trends in the Prescott Valley-Prescott, AZ MSA.
A key metric to consider is the 8.3% share of renters in 85324. This percentage is lower than what might typically be found in urban centers but could still indicate a significant demand for rental properties, especially if the FMR is indicative of affordable housing options. In the context of Section 8 analysis, a higher renter share combined with home values below the metro average would suggest a sweet spot for Section 8 investment. However, given the available data, 85324 does not exhibit such a divergence; instead, it appears to align more closely with the mid-tier neighborhood characteristics within its metro.
To further clarify the positioning of 85324 within the Prescott Valley-Prescott, AZ MSA, it's important to compare its metrics with those of other ZIP codes in the region. For instance, if the typical FMR for the MSA is significantly higher than $1160, then 85324 could be considered a value pocket, offering more affordable rental options. Conversely, if the home values in other ZIP codes are substantially lower than $373,520, then 85324 might lean towards being a premium sub-market, characterized by higher property values.
In conclusion, based on the specific figures provided, ZIP 85324 appears to be a mid-tier neighborhood within the Prescott Valley-Prescott, AZ MSA. It offers a balance between property values and rental demand, making it a stable investment option for landlords and small-portfolio investors. The lack of divergence between its renter share and home values suggests that it neither represents an exceptional opportunity nor a premium market segment, but rather a middle ground where both ownership and rental markets coexist without significant disparity.
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.