Section 8 Fair Market Rent (FMR) for ZIP 90062 - 2027

Location: Los Angeles-Long Beach-Glendale, CA | Metro: Los Angeles-Long Beach-Glendale, CA HUD Metro FMR Area

Investment Score for ZIP 90062

Monthly Rent (2BR)

$2,460

Median Price (2BR)

$631,977

1% Rule

0.39%

Annual Yield

4.67%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,790
1 Bedroom	$1,990
2 Bedrooms	$2,460
3 Bedrooms	$3,120
4 Bedrooms	$3,490
5 Bedrooms	$4,048
6 Bedrooms	$4,534
7 Bedrooms	$4,897
8 Bedrooms	$5,142

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$2,460	$631,977	0.39%	F
3BR	$3,120	$704,485	0.44%	F
4BR	$3,490	$766,329	0.46%	F
5BR	$4,048	$842,069	0.48%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

32,715

Median Household Income

$67,701

Housing Units

10,200

Renter Percentage

54.7%

Occupancy Rate

96.4%

Renter Occupied

5,383

To determine if a landlord should invest in ZIP 90062 (Los Angeles, CA) for Section 8 properties, follow this decision tree:

Step 1: Does the Fair Market Rent (FMR) of $2,170 cover the debt service on a property valued at $694,598?

No. The FMR of $2,170 does not sufficiently cover the debt service for a property priced at $694,598. Debt service typically includes mortgage payments, property taxes, insurance, and maintenance costs, which would likely exceed the FMR amount. This makes the investment unprofitable under Section 8 guidelines.

Step 2: Is the market rent ($2,602 ZORI) above, at, or below the FMR?

Above. The market rent of $2,602 is higher than the FMR of $2,170. This indicates that non-Section 8 tenants could potentially pay more than the FMR, but it also means that Section 8 tenants might struggle to find units that accept their vouchers.

Step 3: Are there enough renters (54.7%) and is the Days on Market (DOM) sufficient?

It Depends. With 54.7% of residents being renters, there is a significant portion of the population that might be interested in rental properties. However, the lack of data on Days on Market (DOM) makes it difficult to assess how quickly properties can be leased. A high DOM could indicate challenges in finding tenants, even among the sizable rental population.

In conclusion, the decision to purchase in ZIP 90062 for Section 8 purposes hinges on whether the landlord can find properties where the FMR covers the necessary debt service. Given the current data, the FMR of $2,170 is insufficient for a property costing $694,598. Additionally, while the rental population is substantial, the absence of DOM data leaves uncertainty about leasing speed. Landlords should carefully consider these factors before making an investment decision.

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.