Section 8 Fair Market Rent (FMR) for ZIP 89015 - 2027

Investment Score for ZIP 89015

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

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

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$1,340	$188,915	0.71%	D
2BR	$1,570	$257,184	0.61%	D
3BR	$2,180	$394,279	0.55%	F
4BR	$2,490	$488,496	0.51%	F
5BR	$2,888	$617,869	0.47%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 89015 (Henderson, NV) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 89015 in Henderson, Nevada, is set by HUD for 2026. The FMRs are as follows: - 0BR: $1190 - 1BR: $1330 - 2BR: $1580 (which represents 26.3% of the median household income) - 3BR: $2210 - 4BR: $2560 These figures represent the maximum amount that a Section 8 voucher holder can pay for rent. However, the actual rental market in Henderson is significantly higher. For instance, the Zillow median price for a 2BR home is $258,465, which translates to a monthly mortgage payment well above the FMR. The price-to-FMR ratio for a 2BR unit is 13.6x, indicating that the typical rental costs are much higher than what voucher holders can afford. This means that voucher holders face significant constraints in finding affordable housing within their budget. #### Affordability & Renter Profile ZIP 89015 has a population of 44,704, with 37.6% of residents being renters. The occupancy rate stands at 93.4%, suggesting a relatively tight rental market. Given the median household income of $72,096, the 2BR FMR of $1580 represents a substantial portion of the average income, making it challenging for low-income families to find suitable housing without assistance. The high price-to-FMR ratio indicates that the market is not particularly affordable for those relying on Section 8 vouchers. The median income suggests that the majority of residents are middle-class, but the large percentage of renters implies a diverse demographic with varying levels of financial stability. The tight market conditions mean that there is likely a shortage of affordable units, leading to competition among voucher holders and other low-income renters. #### Investor Angle From an investor perspective, the ZIP code 89015 presents a mixed picture. While the rental market is robust, with a high occupancy rate and strong demand, the FMRs set by HUD are lower than the actual market rents. This could make it difficult for landlords to achieve positive cash flow if they rely solely on Section 8 tenants. For example, a 2BR unit with an FMR of $1580 would need to be rented out at this price to qualify for Section 8 vouchers. However, the actual market rent is likely much higher, given the price-to-FMR ratio of 13.6x. This discrepancy means that landlords might struggle to cover operating costs, maintenance, and mortgage payments if they only accept Section 8 tenants. The investment grade for properties in this ZIP code would depend on the ability to attract non-voucher tenants who can pay higher rents. If an investor can secure a mix of Section 8 and market-rate tenants, the overall portfolio could still be profitable. However, focusing exclusively on Section 8 tenants would likely result in negative cash flow due to the lower FMRs compared to market rents. #### Specific Actionable Insights 1. **Diversify Tenant Mix**: Investors should consider diversifying their tenant base to include both Section 8 voucher holders and market-rate tenants. By doing so, they can balance the lower rents paid by voucher holders with higher rents from other tenants, ensuring overall profitability. 2. **Focus on Smaller Units**: Given the high price-to-FMR ratio, smaller units like 0BR and 1BR might be more feasible for Section 8 tenants. These units typically have lower FMRs ($1190 and $1330 respectively), making them easier to manage within the constraints of the voucher program. Additionally, these units often have lower maintenance and operational costs, which can help improve cash flow. 3. **Consider Renovation Projects**: Investors looking to enter this market could focus on renovation projects to bring older properties up to standard. By improving the quality of existing units, they can potentially command higher rents while still remaining within the FMR guidelines. This strategy can also help attract a broader range of tenants, including those who do not rely on vouchers. #### Bottom Line Given the high price-to-FMR ratio and the tight rental market, the recommendation for Section 8-focused investors in ZIP 89015 is to **Skip**. The market conditions suggest that it would be challenging to achieve positive cash flow when relying solely on Section 8 tenants. Diversification of the tenant mix is essential, but this requires a broader strategy that goes beyond just targeting voucher holders. For pure Section 8 investments, the risks outweigh the potential returns in this ZIP code.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.