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 | $1,250 |
| 1 Bedroom | $1,370 |
| 2 Bedrooms | $1,610 |
| 3 Bedrooms | $2,210 |
| 4 Bedrooms | $2,530 |
| 5 Bedrooms | $2,935 |
| 6 Bedrooms | $3,287 |
| 7 Bedrooms | $3,550 |
| 8 Bedrooms | $3,728 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,610 | $265,533 | 0.61% | D |
| 3BR | $2,210 | $353,489 | 0.63% | D |
| 4BR | $2,530 | $410,177 | 0.62% | D |
| 5BR | $2,935 | $477,372 | 0.61% | D |
U.S. Census Bureau data (2024)
The ZIP code 89142 in Las Vegas, NV, presents a unique set of challenges and opportunities for both renters and landlords. The median household income in this area stands at $71,233, which places significant constraints on housing affordability when compared to the market rent rate. At a market rate of $1,601 per month (ZORI), renting becomes a substantial financial commitment for residents.
To put this into perspective, consider that the Fair Market Rent (FMR) for the area, which is $1,440 for zip FY 2024, represents the payment standard for Section 8 vouchers. This means that a household receiving a Section 8 voucher would pay no more than 30% of their adjusted income towards rent, with the remainder covered by the voucher up to the FMR limit. In 89142, where the market rate exceeds the FMR, there is a notable affordability gap for those relying solely on their income to cover rent without assistance.
The rental market in 89142 is heavily populated, with a total of 35,179 people and 38.7% of them being renters. This high percentage of renters suggests a competitive landscape for landlords, especially when considering the mix of market-rate and voucher-assisted tenants. Landlords must weigh the benefits and drawbacks of accepting Section 8 vouchers against cash-paying tenants. While vouchers offer a reliable source of income, they also come with regulatory compliance and potential administrative burdens.
The takeaway for landlords is clear: in an environment where market rents exceed the FMR, the decision to accept Section 8 vouchers can be pivotal. It not only opens up the possibility of securing long-term tenants but also helps in addressing the affordability gap faced by many residents. However, landlords should carefully evaluate the trade-offs, including the lower rent ceiling imposed by vouchers versus the higher, albeit potentially less stable, payments from cash-paying tenants. Given the competitive nature of the rental market in 89142, diversifying tenant types might be a prudent strategy to ensure steady occupancy and income.
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.