Location: Reno, NV | Metro: Reno, NV HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,170 |
| 1 Bedroom | $1,350 |
| 2 Bedrooms | $1,690 |
| 3 Bedrooms | $2,290 |
| 4 Bedrooms | $2,660 |
| 5 Bedrooms | $3,086 |
| 6 Bedrooms | $3,456 |
| 7 Bedrooms | $3,732 |
| 8 Bedrooms | $3,919 |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 89442 operate under specific parameters that landlords need to understand. For a two-bedroom apartment, the SAFMR (Small Area Fair Market Rent) is set at $1430 per month for FY 2024. This rate is specifically tailored for this ZIP code, reflecting local housing conditions more accurately than broader regional averages.
However, the local market rent for a similar unit typically runs around $950 per month, according to Census ACS data. This discrepancy between the SAFMR and the actual market rent can impact a landlord's decision to participate in the Section 8 program.
A Section 8 voucher pays a portion of the rent directly to the landlord on behalf of the tenant. The reimbursement amount is calculated based on the SAFMR and the tenant's ability to pay. The tenant is generally responsible for paying 30% of their adjusted income toward the rent. If the tenant's portion plus any utility allowances does not cover the full SAFMR, the difference is made up by the Housing Authority.
To illustrate, if a tenant has an adjusted monthly income of $1000, they would contribute 30%, which is $300, toward the rent. Assuming there is a standard utility allowance, let's say $200, the total contribution from the tenant and the utility allowance would be $500. Since the SAFMR is $1430, the Housing Authority would pay the remaining $930 to the landlord, making the total rental payment $1430.
In ZIP 89442, where the market rent is lower at $950, landlords participating in the Section 8 program would receive the higher SAFMR rate of $1430. This means there is no surplus but rather a guaranteed payment above the local market rate. However, landlords should note that the reimbursement process involves regular inspections and compliance with housing quality standards, which can add administrative burdens.
The typical reimbursement gap or surplus for a two-bedroom apartment in ZIP 89442 is a surplus of $480 per month, assuming the local market rent remains steady at $950. This surplus is due to the SAFMR being significantly higher than the prevailing market rent in the area.
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.