Location: Yuma, AZ | Metro: Phoenix-Mesa-Chandler, AZ MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,080 |
| 1 Bedroom | $1,170 |
| 2 Bedrooms | $1,380 |
| 3 Bedrooms | $1,870 |
| 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 economics of Section 8 in ZIP code 85333 are straightforward and can be clearly understood by landlords and small-portfolio investors. The SAFMR (Section 8 Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code is set at $1570 for the fiscal year 2024. This figure represents the maximum amount that the Housing Choice Voucher program will pay towards rent for a two-bedroom unit in this area.
In contrast, the local market rent for a two-bedroom apartment, based on Census ACS data, is $1054. This means that the SAFMR is higher than the average market rent, which is beneficial for landlords as it ensures they receive a rate that is above the typical rental price.
A voucher payment is composed of two main parts: the tenant portion and the utility allowance. The tenant portion is generally 30% of their household income, while the utility allowance covers additional costs such as electricity, gas, water, and sewage. For a two-bedroom apartment in ZIP 85333, the voucher will cover up to $1570, but the actual amount paid will depend on the tenant's income and the utility allowance.
To illustrate, if a tenant's household income is $2000 per month, their contribution would be $600 (30% of $2000), leaving the remaining $970 to be covered by the voucher. However, since the SAFMR is $1570, there is a potential surplus of $600 ($1570 - $970) available to the landlord. This surplus can be used to cover the utility allowance or to increase the net income received by the landlord.
The typical reimbursement gap or surplus for a two-bedroom apartment in ZIP 85333 is a surplus of $516. This calculation is derived from subtracting the local market rent ($1054) from the SAFMR ($1570). Therefore, landlords who participate in the Section 8 program for a two-bedroom unit in this ZIP code can expect to receive an amount that is significantly higher than the average market rent, ensuring financial stability and potentially higher profits.
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.