Location: Eddy County, NM | Metro: Chaves County, NM
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,000 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,240 |
| 3 Bedrooms | $1,690 |
| 4 Bedrooms | $1,850 |
| 5 Bedrooms | $2,146 |
| 6 Bedrooms | $2,404 |
| 7 Bedrooms | $2,596 |
| 8 Bedrooms | $2,726 |
U.S. Census Bureau data (2024)
32.1% of residents in ZIP code 88253 are renters, indicating a significant demand for rental properties. $1,180 is the Fair Market Rent (FMR) for the metro area in fiscal year 2026, which is the amount landlords can charge for Section 8 housing vouchers. $1,079 is the average market rent based on Census ACS data, showing that the FMR is slightly above the current market rate. $85,813 is the median income for this ZIP code, suggesting that many residents qualify for assistance under the Section 8 program. The median home value is listed as N/A, implying that there may be limited data available on homeownership values, but this does not affect the rental market analysis. Similarly, the days on market (DOM) and the percentage of price-cut shares are also listed as N/A, which could mean that these metrics are not commonly tracked for the rental market in this area. Given the high percentage of renters and the fact that the FMR exceeds the market rent, landlords and small-portfolio investors should consider participating in the Section 8 program. It provides a stable source of income and ensures occupancy rates remain high.
The discrepancy between the FMR and the market rent, where the FMR stands at $1,180 and the market rent is $1,079, offers an opportunity for landlords to potentially increase their rents while still being within the guidelines of the Section 8 program. This can be particularly beneficial for maintaining cash flow and covering operational costs. Additionally, the median income figure of $85,813 supports the likelihood that many tenants will require rental assistance, making the Section 8 program a viable option for securing long-term, reliable tenants.
In conclusion, for ZIP code 88253, the data suggests that the Section 8 program is advantageous for landlords and small-portfolio investors due to the high renter share and favorable FMR to market rent ratio.
Section 8 Verdict: Recommended for investment in ZIP 88253.
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.