Location: Albuquerque, NM | Metro: Albuquerque, NM MSA
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,470 |
| 1 Bedroom | $1,670 |
| 2 Bedrooms | $2,080 |
| 3 Bedrooms | $2,860 |
| 4 Bedrooms | $3,370 |
| 5 Bedrooms | $3,909 |
| 6 Bedrooms | $4,378 |
| 7 Bedrooms | $4,728 |
| 8 Bedrooms | $4,964 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,080 | $429,690 | 0.48% | F |
| 3BR | $2,860 | $625,654 | 0.46% | F |
| 4BR | $3,370 | $852,009 | 0.4% | F |
| 5BR | $3,909 | $1,061,802 | 0.37% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 87122, located in Albuquerque, NM, and part of Bernalillo County, are straightforward. The SAFMR (Section 8 Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code is set at $1830 per month for fiscal year 2024. This figure represents the maximum amount that the Housing Choice Voucher program will pay for a two-bedroom rental unit in this area.
Local market rents, however, are slightly higher, running at $2,160 per month according to the ZORI (Zillow Observed Rent Index). This means landlords can expect to charge tenants a market rate that is above the SAFMR but must still adhere to the voucher payment limits.
A landlord's actual reimbursement from a voucher depends on the tenant's contribution and any utility allowances. Tenants typically pay 30% of their adjusted income towards rent. If we assume an average adjusted income of $1,830 (the SAFMR), the tenant would contribute $549 per month ($1,830 * 0.30). Utility allowances vary but often add around $200 to the monthly reimbursement.
In total, a landlord would receive approximately $2,039 per month for a two-bedroom apartment under a Section 8 voucher: $1,830 from the voucher program plus the $549 tenant contribution minus any utility allowance that might reduce the voucher amount. It’s important to note that the SAFMR is specific to this ZIP code, ensuring that the reimbursement rate reflects the local rental market conditions.
Given the local market rent of $2,160, there is a slight surplus when compared to the typical reimbursement of $2,039. This results in a gap of $121 per month between the market rent and the voucher reimbursement. Landlords should be aware of this difference and factor it into their financial planning when considering participation in the Section 8 program.
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.