Section 8 Fair Market Rent (FMR) for ZIP 88338 - 2027

Location: Lincoln County, NM | Metro: Lincoln County, NM

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$830
1 Bedroom$840
2 Bedrooms$1,060
3 Bedrooms$1,350
4 Bedrooms$1,660
5 Bedrooms$1,926
6 Bedrooms$2,157
7 Bedrooms$2,330
8 Bedrooms$2,447

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
246
Median Household Income
$59,276
Housing Units
134
Renter Percentage
51.5%
Occupancy Rate
100.0%
Renter Occupied
69

The Federal Market Rent (FMR) for ZIP code 88338 in fiscal year 2026 is set at $1,000. This figure represents the payment standard for Section 8 housing vouchers in the area, meaning it is the maximum amount the government will pay toward rent for a unit in this ZIP code. It's important to note that this is not the rent you'll charge your tenant; rather, it's the benchmark against which the government evaluates voucher payments.

While the local median rent for 88338 is currently listed as N/A, the 51.5% renter share indicates that over half of the households in this area are renters. This suggests a strong demand for rental properties, particularly those that can be rented out through the Section 8 program.

The acquisition cost for properties in this ZIP code is also listed as N/A, but given the high renter share, it's likely that many landlords find it worthwhile to invest in Section 8 rentals despite any initial uncertainties about property values.

To put the FMR into perspective, let's consider an example. If a Section 8 tenant is eligible for a full voucher, you could expect the government to cover up to $1,000 of the monthly rent. However, if the actual market rent for your property exceeds $1,000, the tenant would need to pay the difference out-of-pocket. This makes the $1,000 FMR a crucial number for setting your rent price.

Before proceeding with a Section 8 rental in ZIP code 88338, there is one clear thing you must verify: ensure that the property meets all the required standards for the Section 8 program. These include safety, health, and habitability criteria set by the Department of Housing and Urban Development (HUD). A thorough inspection and any necessary repairs can prevent delays in securing tenants and ensure compliance with federal guidelines.

In conclusion, the $1,000 FMR for ZIP code 88338 provides a solid foundation for understanding the financial landscape of Section 8 rentals in the area. With a significant portion of households renting, there is a robust demand for affordable housing options, making this a potentially lucrative investment for landlords and small-portfolio investors alike.

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.