Location: Colfax County, NM | Metro: Colfax County, NM
| Unit Size | Monthly FMR |
|---|---|
| Studio | $810 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,390 |
| 4 Bedrooms | $1,600 |
| 5 Bedrooms | $1,856 |
| 6 Bedrooms | $2,079 |
| 7 Bedrooms | $2,245 |
| 8 Bedrooms | $2,357 |
U.S. Census Bureau data (2024)
The Section 8 thesis in ZIP 87729, Miami, NM, centers around the disparity between the Fair Market Rent (FMR) of $970 for the metro area in fiscal year 2026 and the current market rent of $1,650 per month for a two-bedroom apartment. This represents a gap of $680 per month, or approximately 70.1%.
The FMR, which is the 40th percentile of typical rental costs, is significantly lower than the actual market rent. This means that landlords accepting Section 8 vouchers in ZIP 87729 would be renting their properties below the open-market rates, resulting in a financial loss. Specifically, they would be receiving $970 instead of $1,650, which is a substantial difference.
In ZIP 87729, 27.0% of residents are renters, indicating a notable portion of the population relies on rental housing. The median income is $26,250, which is notably lower than the national average, highlighting the economic challenges faced by many residents.
Given these conditions, landlords should carefully consider the implications of accepting Section 8 vouchers. While it can be a yield play due to the steady income from the government subsidy, the overall financial impact must be weighed against the market rent to determine if it aligns with their investment goals.
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.