Location: Greenlee County, AZ | Metro: Graham County, AZ
| Unit Size | Monthly FMR |
|---|---|
| Studio | $810 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,120 |
| 3 Bedrooms | $1,510 |
| 4 Bedrooms | $1,880 |
| 5 Bedrooms | $2,181 |
| 6 Bedrooms | $2,443 |
| 7 Bedrooms | $2,638 |
| 8 Bedrooms | $2,770 |
U.S. Census Bureau data (2024)
The analysis for the Section 8 program in ZIP code 85533 is centered around the discrepancy between the Fair Market Rent (FMR) and the actual market rent. The FMR for the metro area for fiscal year 2026 is set at $1,140, while the current market rent is listed as N/A, indicating that there is insufficient data to determine an accurate market rent figure at present.
Given that the FMR exceeds the unknown market rent, it suggests that landlords who participate in the Section 8 program can expect a yield play. In other words, the guaranteed rental income through vouchers would likely be higher than what could be achieved renting properties at the prevailing market rate. This makes the Section 8 program attractive for landlords looking to secure consistent cash flow.
The gap between the FMR and the market rent, if the latter were known, would translate into a financial advantage for landlords. For instance, if the market rent were hypothetically lower than $1,140, say $900, the difference would be $240 per month, or approximately 26.7% of the FMR. This percentage represents the premium that voucher tenants bring over the open-market rate, which is beneficial for yield-focused investments.
However, participating in the Section 8 program also comes with considerations regarding the cost of housing voucher tenants below open-market rates. The financial incentive must be weighed against the administrative burden and potential challenges associated with the program, such as stricter maintenance standards and regular inspections.
In the broader context of ZIP 85533, only 7.2% of residents are renters, and the median income is $62,784. These factors suggest that the rental market may be less competitive, and landlords might find it challenging to attract non-voucher tenants willing to pay the FMR. Therefore, the Section 8 program can serve as a reliable alternative for securing tenants and maintaining steady rental income.
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.