Location: Lake Havasu City-Kingman, AZ | Metro: Flagstaff, AZ MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,440 |
| 1 Bedroom | $1,560 |
| 2 Bedrooms | $1,730 |
| 3 Bedrooms | $2,140 |
| 4 Bedrooms | $2,340 |
| 5 Bedrooms | $2,714 |
| 6 Bedrooms | $3,040 |
| 7 Bedrooms | $3,283 |
| 8 Bedrooms | $3,447 |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 86022, located within the Lake Havasu City-Kingman, AZ MSA, highlights a significant opportunity for those looking to enter the rental market. The HUD Fair Market Rent (FMR) for FY 2024 is set at $1460, which is notably higher than the average market rent of $955 reported by the Census ACS. This difference suggests that voucher tenants can easily cashflow at the FMR rate, providing a strong financial buffer for landlords.
To further analyze the investment potential, consider the median home value of $307,007. With the market rent at $955, the rent-to-price ratio is approximately 1.3%, indicating that the area is relatively affordable for homeowners but presents a good rental yield for investors. However, given the higher FMR for voucher tenants, the effective rent-to-price ratio becomes more favorable at around 2.4%. This enhanced ratio supports the viability of rental investments, particularly for properties that qualify under the Section 8 program.
The data does not provide a median Days on Market (DOM) or a percentage of homes that have had their prices cut, making it difficult to assess the exact dynamics between renting and buying. Despite this lack of detail, the substantial gap between the HUD FMR and the market rent strongly indicates that landlords can achieve positive cash flow even without premium units, thus reducing the need for high-end renovations or improvements.
The strongest investor angle in ZIP 86022 is cashflow. Given the discrepancy between the HUD FMR and the actual market rent, landlords can expect consistent and reliable income from Section 8 tenants, which is a critical factor for small-portfolio investors seeking stable returns.
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.