Location: Los Angeles-Long Beach-Glendale, CA | Metro: Los Angeles-Long Beach-Glendale, CA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,540 |
| 1 Bedroom | $2,840 |
| 2 Bedrooms | $3,510 |
| 3 Bedrooms | $4,450 |
| 4 Bedrooms | $4,980 |
| 5 Bedrooms | $5,777 |
| 6 Bedrooms | $6,470 |
| 7 Bedrooms | $6,988 |
| 8 Bedrooms | $7,337 |
U.S. Census Bureau data (2024)
The Section 8 analysis for ZIP code 90071 focuses on the disparity between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR for ZIP 90071 is set at $2770. However, the current market rent is listed as N/A, which indicates a lack of recent data to compare against the FMR. This absence of market rent data is critical for understanding the full implications for landlords and small-portfolio investors.
Given that the market rent data is unavailable, we cannot calculate the exact gap in dollars or percentage between the FMR and the market rent. Nonetheless, if the FMR exceeds the market rent, landlords can leverage this situation to achieve higher yields. Voucher tenants, who are subsidized by the government up to the FMR level, would be willing to pay $2770, potentially exceeding what other market tenants might pay. This makes the ZIP 90071 a strong candidate for a yield play, where landlords can benefit from the guaranteed income from the Section 8 program.
Conversely, if the FMR is lower than the market rent, landlords must consider the financial impact of accepting Section 8 tenants. The cost of housing voucher tenants below open-market rates means landlords could be leaving money on the table by not charging the full market rate. This scenario would require careful consideration of the long-term benefits, such as stable tenancy and reduced vacancy rates, versus the short-term loss of potential rental income.
Anchor the analysis in the broader context of ZIP 90071: N/A% of residents are renters, indicating a significant portion of the population relies on rental properties. The median home value and median income figures are also listed as N/A, suggesting a need for further research into these metrics to provide a comprehensive view of the area's economic landscape. Landlords and investors should keep these factors in mind when evaluating the potential returns from Section 8 properties in this ZIP code.
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.