Section 8 Fair Market Rent (FMR) for ZIP 88052 - 2027

Location: Las Cruces, NM | Metro: Las Cruces, NM MSA

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$950
1 Bedroom	$1,170
2 Bedrooms	$1,290
3 Bedrooms	$1,750
4 Bedrooms	$2,030
5 Bedrooms	$2,355
6 Bedrooms	$2,638
7 Bedrooms	$2,849
8 Bedrooms	$2,991

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

152

Median Household Income

$N/A

Housing Units

169

Renter Percentage

32.6%

Occupancy Rate

54.4%

Renter Occupied

To determine if you should invest in ZIP 88052 for Section 8 properties, follow this decision tree based on the provided data.

Step 1: Calculate if the Fair Market Rent (FMR) of $1230 for ZIP 88052 in fiscal year 2024 can cover the debt service on your potential property. If the FMR does not clear the debt service, the answer is No. You must ensure that the rental income meets or exceeds the financial obligations of owning the property.

Step 2: Assess the market rent against the FMR. If the market rent is significantly above the FMR, consider the following:

If you expect to attract Section 8 tenants, the answer is It Depends. While higher market rents suggest strong demand, Section 8 tenants might prefer lower-cost options. Evaluate the competition and tenant preferences.

If the market rent is close to or slightly above the FMR, the answer is Yes. This indicates a reasonable alignment between the FMR and market conditions, making it feasible to find Section 8 tenants willing to pay the required rent.

If the market rent is below the FMR, the answer is No. This scenario suggests that the area's general rental rates do not support the higher FMR set by the government, potentially leading to vacancy issues.

Step 3: Examine the percentage of renters and the days on market (DOM). With 32.6% of residents being renters and an unspecified DOM, evaluate the following:

If the DOM is low, indicating quick turnover of available rentals, the answer is Yes. This implies high demand and a good chance of finding tenants promptly.
If the DOM is moderate, the answer is It Depends. You need to assess other factors such as the local economy, job availability, and population growth trends to make a final decision.
If the DOM is high, the answer is No. A long time on the market suggests low demand or difficulty in renting out properties, which could be problematic for a Section 8 investment.

The key is to balance the FMR against your debt service, align market rents with the FMR, and ensure there is sufficient tenant demand as indicated by the DOM. Only proceed with an investment when these criteria are met.

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.