Location: Albuquerque, NM | Metro: Albuquerque, NM MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $910 |
| 1 Bedroom | $1,070 |
| 2 Bedrooms | $1,320 |
| 3 Bedrooms | $1,840 |
| 4 Bedrooms | $2,160 |
| 5 Bedrooms | $2,506 |
| 6 Bedrooms | $2,807 |
| 7 Bedrooms | $3,032 |
| 8 Bedrooms | $3,184 |
U.S. Census Bureau data (2024)
The ZIP code 87032 presents several challenges for potential Section 8 landlords and small-portfolio investors. The primary concern is tenant turnover, which can be exacerbated by the discrepancy between the market rent and the Fair Market Rent (FMR) of $1030 for FY 2024. Landlords may find themselves adjusting to the lower payment standard set by the FMR, which could lead to frequent changes in occupancy.
Vacancy exposure is another significant risk. With no data available on the days on market (DOM), it's difficult to predict how long a property might remain vacant. This uncertainty can lead to financial strain, as landlords will not receive rental income during these periods. Additionally, the lack of information on typical home values and median incomes in the area makes it challenging to assess the level of deferred maintenance that might occur. Without knowing the financial status of the residents, it's unclear whether they can afford to maintain their homes adequately, potentially leading to costly repairs for landlords.
However, these risks must be weighed against the fact that the ZIP code has a 0.0% renter share, indicating a very high concentration of renters. High renter density often correlates with increased demand for housing vouchers, which can stabilize the rental market and provide a steady stream of tenants. Despite the lack of specific data points, the high density of renters suggests a robust need for affordable housing, which could mitigate some of the aforementioned risks.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.