Section 8 Fair Market Rent (FMR) for ZIP 89119 - 2027

Investment Score for ZIP 89119

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	$133,047	1.01%	B
2BR	$1,570	$188,074	0.83%	C
3BR	$2,180	$385,249	0.57%	F
4BR	$2,490	$438,491	0.57%	F
5BR	$2,888	$535,989	0.54%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 89119 (Las Vegas, NV) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 89119 in Las Vegas, NV, is set by HUD for 2026 as follows: $1200 for 0BR units, $1330 for 1BR units, $1580 for 2BR units, $2210 for 3BR units, and $2560 for 4BR units. These figures represent the maximum amount that a Section 8 voucher holder can pay for rent based on the size of the unit they wish to occupy. Comparing these FMRs to actual rents, we see that the Zillow median price for a 2BR unit is $195,059. However, the price-to-FMR ratio for this ZIP code is 10.3x, which means that the actual rental prices are significantly higher than the FMRs. For example, the FMR for a 2BR unit is $1580, but the actual median rental price could be around $16,295 ($1580 * 10.3). This indicates that voucher holders face significant constraints in finding affordable housing within their budget. #### Affordability & Renter Profile ZIP code 89119 has a population of 50,196, with 77.2% of residents being renters. The occupancy rate is 88.2%, suggesting a relatively tight rental market where most available units are occupied. The median household income in this area is $46,960, and 40.4% of this income goes towards paying for a 2BR unit at the FMR level. This high percentage of income dedicated to rent implies that many residents are struggling to afford housing, especially those relying solely on their income without additional assistance. Given the high renter percentage and the relatively low median income, it is likely that the majority of renters in this ZIP code are low-income individuals who may qualify for Section 8 vouchers. However, the disparity between the FMR and actual rental prices suggests that even with vouchers, finding suitable housing remains challenging. #### Investor Angle From an investor’s perspective, the ZIP code 89119 presents a mixed picture. The FMRs indicate the maximum allowable rent for Section 8 voucher holders, but the actual rental prices are much higher. To determine if this ZIP code is cash-flow positive at FMR levels, we need to consider the typical expenses associated with property ownership, such as mortgage payments, maintenance costs, property taxes, and insurance. Assuming a conservative estimate of monthly expenses for a 2BR unit at $1580 FMR, let’s break down the potential cash flow: - **Mortgage Payment**: If we assume a 30-year fixed-rate mortgage at 5% interest on the median home value of $195,059, the monthly payment would be approximately $1,040. - **Maintenance Costs**: Typically, maintenance costs are around 1% of the property value per year, or about $162 per month. - **Property Taxes**: Property taxes in Clark County average around 1.15% of the property value annually, equating to roughly $182 per month. - **Insurance**: Homeowners insurance averages around $100 per month. Adding these up, the total monthly expenses would be approximately $1,484 ($1,040 + $162 + $182 + $100). At the FMR of $1580, the net cash flow would be about $96 per month. While this is positive, the margin is slim, and any unexpected expenses could quickly erode profits. In terms of investment grade, the ZIP code 89119 appears to be moderately attractive. The high renter percentage and occupancy rate suggest strong demand, but the affordability issues for low-income residents mean that competition for tenants using Section 8 vouchers could be fierce. Investors should carefully evaluate the local market dynamics and ensure they can manage properties efficiently to maintain profitability. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high renter percentage and the fact that 40.4% of median income is spent on a 2BR unit, investors might find better success focusing on smaller units like 0BR and 1BR apartments. The FMR for these units is $1200 and $1330, respectively, which are lower compared to the median home value. This could make it easier to attract tenants who are using Section 8 vouchers. 2. **Consider Location-Specific Factors**: Within ZIP code 89119, certain areas may have more favorable conditions for Section 8 tenants. For instance, proximity to public transportation, schools, and healthcare facilities can make a property more desirable. Investors should conduct thorough research to identify neighborhoods with these amenities, as they are likely to have higher demand from voucher holders. 3. **Evaluate Property Condition**: Given the high occupancy rate and the tight rental market, properties in good condition are likely to be more competitive. Investors should prioritize purchasing or renovating well-maintained units to ensure they can command the FMR rates and attract tenants. #### Bottom Line For Section 8-focused investors, ZIP code 89119 presents a moderate opportunity. The high renter percentage and occupancy rate indicate strong demand, but the significant gap between FMR and actual rental prices poses challenges. Investors should focus on smaller units and consider location-specific factors to maximize their chances of attracting tenants. **Recommendation**: **Hold**. The ZIP code offers opportunities for investors willing to navigate the complexities of the rental market, but the slim profit margins and high competition for Section 8 tenants suggest that cautious investment strategies are necessary.

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.