Location: Flagstaff, AZ | Metro: Flagstaff, AZ MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,440 |
| 1 Bedroom | $1,560 |
| 2 Bedrooms | $1,730 |
| 3 Bedrooms | $2,110 |
| 4 Bedrooms | $2,320 |
| 5 Bedrooms | $2,691 |
| 6 Bedrooms | $3,014 |
| 7 Bedrooms | $3,255 |
| 8 Bedrooms | $3,418 |
U.S. Census Bureau data (2024)
The median income in ZIP code 86045 stands at $50,844, which provides a crucial context for understanding the financial landscape faced by renters. At the market rate of $851 per month (as reported by the Census ACS), the average household would spend approximately 20% of their annual income on rent alone. This figure is manageable but leaves little room for other expenses, such as utilities, food, and healthcare.
However, the situation becomes significantly more challenging when comparing the market rate to the Fair Market Rent (FMR) payment standard of $1,460, set for ZIP 86045 for fiscal year 2024. The disparity between the market rate and the FMR highlights a substantial affordability gap for renters relying solely on their income. To put it into perspective, a household earning the median income would need to allocate nearly 35% of their annual earnings to meet the FMR standard, which is unrealistic and unsustainable.
With 36.0% of the population being renters and a total population of 10,319, the competition among landlords is notable. However, the majority of potential tenants cannot afford the higher FMR rates without assistance, such as housing vouchers. This means that landlords who accept vouchers will have a larger pool of qualified tenants to choose from, compared to those who only consider cash-paying renters who must meet the FMR threshold.
The takeaway for landlords is clear: accepting vouchers can be a strategic advantage in securing long-term, stable tenants. While the FMR standard of $1,460 represents the maximum amount that the government will pay for a voucher, it is often lower than the actual market rate, making it less profitable for landlords. Nonetheless, the demand for affordable housing suggests that landlords who are willing to work with voucher programs will likely find themselves in a better position to fill vacancies and maintain occupancy rates.
In summary, the affordability gap in ZIP 86045 means that landlords should seriously consider voucher acceptance as part of their rental strategy. This approach not only broadens the tenant pool but also aligns with the economic realities faced by the majority of local renters.
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.