Location: Las Vegas-Henderson-North Las Vegas, NV | Metro: Las Vegas-Henderson-North Las Vegas, NV MSA
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,200 |
| 1 Bedroom | $1,340 |
| 2 Bedrooms | $1,570 |
| 3 Bedrooms | $2,180 |
| 4 Bedrooms | $2,490 |
| 5 Bedrooms | $2,888 |
| 6 Bedrooms | $3,235 |
| 7 Bedrooms | $3,494 |
| 8 Bedrooms | $3,669 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,570 | $319,498 | 0.49% | F |
| 3BR | $2,180 | $478,959 | 0.46% | F |
| 4BR | $2,490 | $577,089 | 0.43% | F |
| 5BR | $2,888 | $874,883 | 0.33% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 89005, which covers Boulder City, NV, within Clark County, revolve around the Subsidy Allocation Fair Market Rent (SAFMR) and the local market rent rates. For fiscal year 2024, the SAFMR for a two-bedroom apartment in this specific ZIP code is set at $1470. This figure represents the maximum amount that the federal government will subsidize for landlords participating in the Housing Choice Voucher program.
In contrast, the local market rent, measured by the Zillow Observed Rent Index (ZORI), stands at $1502. This indicates the average rent price for similar units in the same area without any subsidy adjustments. It's important to note that the SAFMR is tailored specifically to this ZIP code, reflecting the unique economic conditions and housing costs of Boulder City.
A voucher payment to landlords consists of two parts: the subsidy from the government and the tenant's contribution. The tenant's portion is typically 30% of their adjusted income. For a two-bedroom unit priced at the SAFMR level of $1470, if the tenant's income is such that they can contribute $441 (which is 30% of $1470), then the government would cover the remaining $1029. However, if the market rent is higher, say at $1502, the government still only pays up to $1470. In this case, the landlord would receive $1029 from the government and $441 from the tenant, totaling $1470. The landlord would not be reimbursed for the additional $32 above the SAFMR.
Beyond the base rent, there are utility allowances that can vary based on the type of unit and the region. These allowances are designed to help cover the cost of utilities and are added to the monthly subsidy. For ZIP 89005, the utility allowance for a two-bedroom unit can range from $200 to $300 per month, depending on the specifics of the contract and the energy efficiency of the property.
To summarize, a landlord in ZIP 89005 participating in the Section 8 program for a two-bedroom unit would see a reimbursement gap of $32 when the market rent exceeds the SAFMR. This means that despite the market rent being $1502, the landlord would only receive a total of $1470 from both the government and the tenant. Conversely, if the market rent is below the SAFMR, landlords might experience a surplus, but this is not the case for ZIP 89005 where the market rent slightly exceeds the SAFMR.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.