Location: Douglas County, NV | Metro: Douglas County, NV
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 | $1,060 |
| 1 Bedroom | $1,170 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $2,100 |
| 4 Bedrooms | $2,540 |
| 5 Bedrooms | $2,946 |
| 6 Bedrooms | $3,300 |
| 7 Bedrooms | $3,564 |
| 8 Bedrooms | $3,742 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,520 | $429,966 | 0.35% | F |
| 3BR | $2,100 | $598,480 | 0.35% | F |
| 4BR | $2,540 | $836,858 | 0.3% | F |
| 5BR | $2,946 | $1,245,506 | 0.24% | F |
U.S. Census Bureau data (2024)
The Section 8 cap-rate analysis for ZIP 89410 (Gardnerville, NV) provides insight into potential investment opportunities. Using the annualized Fair Market Rent (FMR) for a 2-bedroom apartment at $1,570 per month (for FY 2026), and the Census-reported market rent of $1,270 per month, we can derive the implied gross yields.
First, consider the FMR scenario. With an annual rent of $18,840 ($1,570 x 12 months), the implied gross yield based on the median home value of $623,497 would be approximately 3%. This calculation is derived by dividing the annual rent by the median home value. However, this scenario may not reflect the actual rental environment in Gardnerville due to the specific nature of FMR rates, which are often higher than what the market can bear.
Next, using the market rent figure of $1,270 per month, the annual rent comes to $15,240. When this amount is divided by the median home value of $623,497, the implied gross yield drops to around 2.4%. This yield is more indicative of the local rental market conditions, as it reflects the actual rents that tenants might pay.
The 31.1% renter density suggests a moderate demand for rentals, but it does not provide enough information to determine the exact vacancy rate or the number of days on the market (DOM). Given that the DOM is listed as N/A, it's important to note that the actual performance of rental properties could vary significantly based on the local housing market dynamics, including competition and tenant preferences.
In conclusion, while the FMR-based gross yield of 3% is theoretically possible, the market rent-based gross yield of 2.4% is likely more reflective of the reality in Gardnerville. Landlords and small-portfolio investors should consider the 2.4% gross yield as a starting point for their own calculations, factoring in their specific property expenses and market conditions.
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.