Section 8 Fair Market Rent (FMR) for ZIP 89118 - 2027

Location: Las Vegas-Henderson-North Las Vegas, NV | Metro: Las Vegas-Henderson-North Las Vegas, NV MSA

Investment Score for ZIP 89118

Monthly Rent (2BR)

$1,780

Median Price (2BR)

$236,737

1% Rule

0.75%

Annual Yield

9.02%

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	$1,380
1 Bedroom	$1,510
2 Bedrooms	$1,780
3 Bedrooms	$2,450
4 Bedrooms	$2,800
5 Bedrooms	$3,248
6 Bedrooms	$3,638
7 Bedrooms	$3,929
8 Bedrooms	$4,125

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$1,510	$169,227	0.89%	C
2BR	$1,780	$236,737	0.75%	D
3BR	$2,450	$367,764	0.67%	D
4BR	$2,800	$548,070	0.51%	F
5BR	$3,248	$674,430	0.48%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

22,610

Median Household Income

$71,160

Housing Units

10,288

Renter Percentage

52.7%

Occupancy Rate

90.1%

Renter Occupied

4,881

The ZIP code 89118, located in Las Vegas, Nevada, is characterized by a diverse mix of residential properties and a bustling urban environment. This area is particularly attractive to investors due to its strategic location and the ongoing demand for rental properties.

The Fair Market Rent (FMR) for a two-bedroom apartment in ZIP 89118 for fiscal year 2024 is set at $1,780.
The market rent, as indicated by the Zillow Observed Rent Index (ZORI), stands at $1,520 per month for a similar unit.
The median home value in the area is $331,751, offering a balance between affordability and potential appreciation.
Renters make up a significant portion of the housing market, with 52.7% of residents choosing to lease rather than own their homes.
The days on market (DOM) for rental listings is relatively low at 55 days, suggesting strong demand and quick turnover.
The median household income in the area is $71,160, providing a steady economic base for rental payments.

The data points clearly indicate that ZIP 89118 offers a favorable investment climate for landlords and small-portfolio investors. With a higher FMR compared to the actual market rent, there's potential for increasing rental rates without losing tenants. The substantial renter share and low DOM suggest a robust rental market, while the median home value and income levels provide a stable financial foundation for the area. These factors combined create an environment where rental properties can be managed effectively and profitably.

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.