Location: Lyon County, NV | Metro: Carson City, 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 | $1,050 |
| 1 Bedroom | $1,120 |
| 2 Bedrooms | $1,430 |
| 3 Bedrooms | $1,980 |
| 4 Bedrooms | $2,390 |
| 5 Bedrooms | $2,772 |
| 6 Bedrooms | $3,105 |
| 7 Bedrooms | $3,353 |
| 8 Bedrooms | $3,521 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,430 | $348,443 | 0.41% | F |
| 3BR | $1,980 | $451,626 | 0.44% | F |
| 4BR | $2,390 | $530,607 | 0.45% | F |
U.S. Census Bureau data (2024)
The real estate market in ZIP 89706, Carson City, NV, presents a nuanced landscape for both landlords and small-portfolio investors. The median home value stands at $452,074, indicating a stable residential property environment. However, the fact that only 0.2% of listings have been reduced suggests that sellers maintain strong pricing power, as few are willing to lower their asking prices. This stability in listing prices, coupled with the unavailability of the median days on market (DOM), points to a brisk sales pace where homes are likely selling close to their original asking prices.
On the rental side, the Forward Monthly Rent (FMR) for ZIP 89706 in fiscal year 2024 is set at $1,460. In contrast, the actual market rent, as measured by the Zillow Observed Rent Index (ZORI), currently sits at approximately $1,900. This significant gap between the FMR and ZORI suggests that the rental market is robust, with demand outstripping the government's estimated fair market rent. Landlords can expect to maintain competitive rental rates above the FMR, providing a solid income stream for those who choose to hold properties for the long term.
For long-hold investors, the setup implies a moderate appreciation thesis. The stable home values and strong seller pricing power suggest that while rapid price increases are unlikely, steady growth is probable. The discrepancy between FMR and ZORI also indicates a healthy rental market, which supports the investment case through consistent cash flow. However, investors should be cautious about relying solely on appreciation as a primary source of returns, given the limited historical data suggesting significant price hikes. Instead, focus on the reliable rental income and modest capital appreciation expected in this balanced market.
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.