Location: Apache County, AZ | Metro: Apache County, AZ
| Unit Size | Monthly FMR |
|---|---|
| Studio | $780 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,130 |
| 3 Bedrooms | $1,530 |
| 4 Bedrooms | $1,820 |
| 5 Bedrooms | $2,111 |
| 6 Bedrooms | $2,364 |
| 7 Bedrooms | $2,553 |
| 8 Bedrooms | $2,681 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 85920 in Apache County, Arizona, reveals several key points that are crucial for landlords and small-portfolio investors.
The first question to address is whether the rent math works. The Fair Market Rent (FMR) for the metro area for fiscal year 2026 is set at $1,250, while the current market rent based on Census ACS data stands at $967. This indicates that landlords might need to adjust their rental pricing strategies to align with the FMR if they wish to remain competitive and ensure profitability. However, the gap suggests potential for increasing rents without significantly deterring tenants.
Moving on to acquisition affordability, the median home value in ZIP 85920 is $417,529. With no data available on days on market (DOM) or the percentage of homes that required price cuts to sell, it's difficult to gauge the current market conditions for property purchases. Investors should consider this lack of liquidity data when assessing the risk and potential returns of acquiring properties in this area.
Regarding tenant demand, the population of ZIP 85920 is 613, with 10.9% of residents being renters. This low renter share suggests that there may be limited demand for rental properties, which could impact occupancy rates and the ease of finding tenants.
In summary, while the potential exists to increase rents to meet the FMR, the low number of renters and the high median home value present challenges for both profitability and acquisition. Landlords and investors must weigh these factors carefully before committing to investments in ZIP 85920. The verdict is that the area offers a mixed picture; the rent adjustment can make sense mathematically, but the limited tenant pool and high property values suggest caution and thorough due diligence are necessary.
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.