Section 8 Fair Market Rent (FMR) for ZIP 85719 - 2027

Investment Score for ZIP 85719

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	$950
1 Bedroom	$1,070
2 Bedrooms	$1,370
3 Bedrooms	$1,900
4 Bedrooms	$2,160
5 Bedrooms	$2,506
6 Bedrooms	$2,807
7 Bedrooms	$3,032
8 Bedrooms	$3,184

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$1,070	$195,465	0.55%	F
2BR	$1,370	$280,917	0.49%	F
3BR	$1,900	$375,367	0.51%	F
4BR	$2,160	$497,165	0.43%	F
5BR	$2,506	$629,597	0.4%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 85719 (Tucson, AZ) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 85719 in Tucson, Arizona, is set by HUD for 2026. For a two-bedroom unit, the FMR is $1380 per month. This figure represents 39.2% of the median household income in the area, which stands at $42,241. However, the actual rental market price for a two-bedroom unit, according to Zillow, is significantly higher at $274,148, translating to a monthly rent of approximately $2,284 based on a 12-month lease. The price-to-FMR ratio of 16.6x indicates that actual market rents are far above the FMR levels. This means that Section 8 voucher holders face significant constraints when trying to find housing that fits within their budget. A voucher holder would need to find a landlord willing to accept a rent of $1380, which is well below the market rate. Landlords might be reluctant to accept such low rents, leading to a potential shortage of available units for voucher holders. #### Affordability & Renter Profile ZIP code 85719 has a high renter population, with 72.1% of residents being renters. This suggests a strong demand for rental properties in the area. The occupancy rate of 91.7% further supports this conclusion, indicating that there is little vacancy in the rental market. Given the median household income of $42,241, many residents likely struggle to afford the high market rents, especially those who rely on Section 8 vouchers. The tight market conditions make it challenging for low-income households to find affordable housing. With the majority of residents renting and a limited number of units available at or below FMR levels, the competition for affordable units is fierce. This dynamic can lead to landlords raising rents to levels that exceed the FMR, making it even harder for voucher holders to secure housing. #### Investor Angle From an investor perspective, the ZIP code 85719 presents a mixed picture. While the actual market rents are much higher than the FMR, the ability to collect rent at FMR levels is limited due to the scarcity of units that fit within these parameters. The FMR for a two-bedroom unit is $1380, but the actual market rent is around $2,284, meaning that investors who focus solely on Section 8 vouchers will likely have lower cash flows compared to those who can charge market rates. To determine the investment grade, we must consider both the demand and the supply dynamics. The high renter percentage and occupancy rate suggest strong demand, but the affordability issues indicate that supply is constrained. Investors looking to maximize returns should consider the possibility of charging market rates rather than relying on FMR levels. However, they must also be prepared for the challenges associated with finding tenants who can afford these higher rates. #### Specific Actionable Insights 1. **Focus on Market Rates**: Given the high price-to-FMR ratio, investors should aim to charge market rates rather than FMR levels. For a two-bedroom unit, this would mean setting the rent at approximately $2,284 per month. This approach would likely result in higher cash flows, although it would exclude Section 8 voucher holders from the tenant pool. 2. **Target Affordable Units**: If an investor wants to cater to the needs of low-income households and Section 8 voucher holders, they should focus on acquiring or developing units that are priced close to the FMR. This could involve purchasing older properties that are currently undervalued or building new affordable housing units. For a two-bedroom unit, the target rent should be around $1380 per month. 3. **Consider Mixed-Income Developments**: To balance the needs of different tenant groups, investors might consider mixed-income developments where some units are priced at FMR levels and others are priced closer to market rates. This strategy can help ensure a steady stream of tenants while also providing affordable housing options. #### Bottom Line For Section 8-focused investors, the recommendation is to **Skip** this ZIP code unless they can develop or acquire units specifically designed to be affordable at FMR levels. The high market rents and the scarcity of units that fit within FMR constraints make it difficult to achieve positive cash flow if relying solely on Section 8 vouchers. Investors who are willing to explore mixed-income developments or target affordable units may find opportunities, but they should be prepared for the challenges of a tight rental market.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.