Location: Taos County, NM | Metro: Taos County, NM
| Unit Size | Monthly FMR |
|---|---|
| Studio | $860 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,230 |
| 3 Bedrooms | $1,550 |
| 4 Bedrooms | $1,940 |
| 5 Bedrooms | $2,250 |
| 6 Bedrooms | $2,520 |
| 7 Bedrooms | $2,722 |
| 8 Bedrooms | $2,858 |
U.S. Census Bureau data (2024)
The median income in ZIP code 87553 stands at $48,906, which is crucial when evaluating the affordability of housing in the area. The market rate for rent, according to Census ACS data, is $1,013 per month. This places a significant burden on households, as it represents nearly 25% of their annual income. To put this into perspective, a household earning the median income would need to allocate approximately $12,156 annually to cover rent alone, a substantial portion of their earnings.
In comparison, the Fair Market Rent (FMR) set by HUD for the fiscal year 2026 is $1,200, notably higher than the current market rate. This discrepancy highlights the challenge faced by renters who might seek assistance through housing vouchers. Vouchers aim to cover up to 40% of the FMR, meaning they could potentially subsidize a rent of up to $480 per month for a household in this ZIP code, assuming the household's income is 30% of the area median. However, given the actual market rate of $1,013, many voucher holders would still struggle to find suitable housing without additional support.
The ZIP code has a population of 1,260, with 22.0% being renters. This indicates a relatively small pool of potential tenants, which could intensify competition among landlords. Landlords must consider the balance between attracting tenants with vouchers and those paying cash rent. The affordability gap suggests that landlords who accept vouchers may benefit from a more stable tenant base, albeit at lower rental rates. On the other hand, landlords who focus on cash-paying tenants might secure higher rents but face greater challenges in finding and retaining tenants given the economic constraints.
The takeaway for landlords is clear: accepting vouchers can provide a steady stream of tenants willing to pay a subsidized rate, though this comes at the cost of lower monthly revenue. For landlords looking to maximize their rental income, focusing on cash-paying tenants is a viable strategy, but they should be prepared to offer competitive amenities and services to attract and retain these tenants in a challenging economic environment. Both approaches require careful consideration of the local rental market dynamics and the financial needs of potential tenants.
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.