Location: Las Vegas-Henderson-North Las Vegas, NV | Metro: Las Vegas-Henderson-North Las Vegas, NV MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,500 |
| 1 Bedroom | $1,640 |
| 2 Bedrooms | $1,930 |
| 3 Bedrooms | $2,650 |
| 4 Bedrooms | $3,040 |
| 5 Bedrooms | $3,526 |
| 6 Bedrooms | $3,949 |
| 7 Bedrooms | $4,265 |
| 8 Bedrooms | $4,478 |
U.S. Census Bureau data (2024)
The rent math in ZIP code 89018, part of the Las Vegas-Henderson-North Las Vegas, NV MSA, does not favor tenants seeking assistance through the Section 8 program. The Fair Market Rent (FMR) set at $1320 for fiscal year 2024 is significantly lower than the average market rent of $2,589 reported by the Census Bureau's American Community Survey (ACS). This disparity means that landlords accepting Section 8 tenants in this area will face a substantial gap between government-subsidized rents and market rates.
Acquisition of properties in this ZIP code is not financially attractive for investors looking to acquire homes at affordable prices. With a median home value of $393,161, the cost of entry into the market is high. The lack of data on days on market (DOM) and the percentage of homes requiring price cuts suggests a stable market, but it also implies that finding deals might be challenging. Landlords should expect to pay close to the median value if they wish to purchase properties in this area.
Tenant demand in ZIP 89018 is modest given its relatively small population of 1,170. However, the renter share stands at 30.7%, indicating a significant portion of the population is looking for rental housing. Despite the smaller pool of potential tenants, the high renter share suggests there could still be interest from those who qualify for the Section 8 program.
In conclusion, while there is a tenant base interested in rental housing in ZIP 89018, the financial viability for landlords is questionable due to the substantial difference between the FMR and market rents. Given the high median home values and the limited population size, acquiring properties here would likely be expensive and not yield a competitive return compared to other areas with higher FMRs relative to market rents. For small-portfolio investors, focusing on neighborhoods with better alignment between FMR and market rents, or where property values are lower, might prove more profitable.
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.