Location: Union County, NM | Metro: Union County, NM
| Unit Size | Monthly FMR |
|---|---|
| Studio | $770 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,400 |
| 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 ZIP code 88424 presents an interesting case study for rental market analysis. Given the median income is currently N/A, it's challenging to accurately assess whether households can afford the market rate, which is also listed as N/A. However, we can still draw insights based on the available data.
The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $980. This figure represents the voucher payment standard for eligible households. Comparing this to the unknown market rate, it suggests that if the market rate exceeds $980, there could be a significant affordability gap for those relying solely on vouchers.
In ZIP 88424, renters make up 47.4% of the housing market, with a total population of 89. This relatively low population number means that the competition among landlords is likely to be intense. Each unit left unoccupied represents a missed opportunity for income, especially in such a small market.
The affordability gap means that landlords must carefully consider their pricing strategies. If the market rate is indeed higher than the $980 voucher payment, many potential tenants will struggle to cover the additional costs without supplementary income. This scenario could lead to longer vacancy periods and increased reliance on voucher-supported tenants to fill units.
For landlords, the takeaway is clear: while maximizing rental income is a priority, the high percentage of renters and the small population size necessitate flexibility. Offering units at or below the $980 FMR could attract more stable, long-term tenants who rely on vouchers. Conversely, setting rates above this benchmark might limit your tenant pool to those with higher incomes or additional financial resources, potentially reducing occupancy rates in a competitive market.
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.