Location: Reno, NV | Metro: Reno, NV HUD Metro FMR Area
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 | $1,640 |
| 1 Bedroom | $1,870 |
| 2 Bedrooms | $2,350 |
| 3 Bedrooms | $3,140 |
| 4 Bedrooms | $3,640 |
| 5 Bedrooms | $4,222 |
| 6 Bedrooms | $4,729 |
| 7 Bedrooms | $5,107 |
| 8 Bedrooms | $5,362 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,350 | $448,421 | 0.52% | F |
| 3BR | $3,140 | $459,928 | 0.68% | D |
| 4BR | $3,640 | $526,802 | 0.69% | D |
| 5BR | $4,222 | $570,118 | 0.74% | D |
U.S. Census Bureau data (2024)
The potential pitfalls for landlords investing in ZIP 89508 under the Section 8 program are significant. Tenant turnover can be high due to the gap between the market rent of $2,350 and the Fair Market Rent (FMR) of $2,020 for FY 2024. This discrepancy means that landlords might struggle to cover their costs fully, leading to frequent tenant changes.
Vacancy exposure is another concern, as the days on market (DOM) for rental properties is not available. This lack of data makes it difficult to predict how long a property might remain vacant, increasing financial risk. Additionally, the deferred maintenance exposure is considerable. With a typical home value of $480,869 and a median income of $97,361, many homeowners might delay necessary repairs and improvements, which can translate into higher maintenance costs for landlords.
However, these risks must be weighed against the high concentration of renters in ZIP 89508. The 5.9% renter share suggests a dense rental market, often indicative of higher demand for housing vouchers. This increased demand can stabilize the number of tenants and reduce the likelihood of extended vacancies.
In conclusion, the risk for a first-time Section 8 landlord in ZIP 89508 is moderate.
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.