Location: Eddy County, NM | Metro: Eddy County, NM
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,050 |
| 1 Bedroom | $1,150 |
| 2 Bedrooms | $1,250 |
| 3 Bedrooms | $1,730 |
| 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)
The ZIP code 88256 presents a viable opportunity for landlords and small-portfolio investors looking to attract Section 8 tenants. With a population of 1,935, 19.7% of residents are renters, indicating a significant portion of the community relies on rental housing. The median household income stands at $45,714, which provides insight into the economic landscape of the area.
Market rent in this ZIP is priced at $1,291 per month, representing approximately 33% of the median household income. This percentage is calculated by dividing the monthly rent by the annual income ($1,291 * 12 / $45,714 = 33%). Given that the Fair Market Rent (FMR) for the area is set at $1,180 (for fiscal year 2026, metro), landlords can see that the market rent slightly exceeds the FMR, suggesting a competitive market for rental properties.
The discrepancy between the market rent and FMR highlights the potential challenge for tenants seeking to use their vouchers. While the FMR is designed to cover the cost of typical market rents, the actual market rate in 88256 is higher, meaning landlords might need to accept slightly lower returns or negotiate with tenants to make their properties affordable.
In terms of tenant profile, landlords in 88256 can expect a mix of low-income families who rely on rental assistance programs like Section 8. These tenants will likely have a monthly income below $45,714 and be seeking affordable housing options. Landlords should prepare to work closely with local housing authorities to ensure compliance with program requirements and to manage the administrative aspects of renting to Section 8 tenants.
To summarize, 88256 is a ZIP code with a notable presence of renters, making it a suitable location for landlords interested in Section 8 tenants. However, the higher-than-FMR market rent may require some flexibility in pricing to accommodate those using vouchers. The typical tenant will be from a low-income background, reliant on assistance to secure housing.
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.