Location: Phoenix-Mesa-Chandler, AZ | Metro: Phoenix-Mesa-Chandler, AZ MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,160 |
| 1 Bedroom | $1,250 |
| 2 Bedrooms | $1,450 |
| 3 Bedrooms | $1,910 |
| 4 Bedrooms | $2,120 |
| 5 Bedrooms | $2,459 |
| 6 Bedrooms | $2,754 |
| 7 Bedrooms | $2,974 |
| 8 Bedrooms | $3,123 |
U.S. Census Bureau data (2024)
The ZIP code 85329 is situated in a community characterized by a modest population size of 2,252 residents, where nearly one-third (33.5%) of the inhabitants are renters. The median household income here stands at $36,399, indicating a middle-income bracket area. Notably, the median home value is not available, suggesting either a predominantly rental market or a lack of sufficient data to provide an accurate figure.
Moving into the realm of rental economics, the Fair Market Rent (FMR) for ZIP 85329, as determined for fiscal year 2024, is set at $1,880. This is notably higher than the reported market rent of $1,332, based on the latest Census American Community Survey (ACS) data. The disparity between the FMR and the market rent presents a unique opportunity for landlords and small-portfolio investors.
For hands-off voucher operators, ZIP 85329 could be an attractive investment due to the relatively high FMR compared to the actual market rent. This suggests that landlords participating in the Section 8 program can potentially receive higher rents through vouchers than what the local market would otherwise offer. However, it's important to note that the success of such an operation depends on the willingness of tenants to participate in the voucher program and the efficiency of the housing authority in processing payments.
On the other hand, for hands-on value-add buyers looking to improve their properties and command higher rents, ZIP 85329 also offers potential. Given the lower market rent, there might be opportunities to renovate and upgrade units, thereby justifying a price closer to the FMR. Such an approach requires a proactive strategy and a deeper understanding of the local real estate market to ensure that renovations are aligned with tenant demand and market conditions.
In conclusion, ZIP 85329 presents distinct opportunities for both types of investors. For those seeking a stable, passive income stream, the voucher program's higher FMR provides a compelling reason to consider this area. Meanwhile, hands-on investors might find the potential to add value to properties and increase rental income appealing. Both scenarios hinge on the ability to navigate the local real estate landscape effectively.
Data Sources: FMR data from HUD (2027). 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.