Location: Los Angeles-Long Beach-Glendale, CA | Metro: Los Angeles-Long Beach-Glendale, CA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $3,080 |
| 1 Bedroom | $3,440 |
| 2 Bedrooms | $4,250 |
| 3 Bedrooms | $5,390 |
| 4 Bedrooms | $6,030 |
| 5 Bedrooms | $6,995 |
| 6 Bedrooms | $7,834 |
| 7 Bedrooms | $8,461 |
| 8 Bedrooms | $8,884 |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 90403, located in Santa Monica, CA, within Los Angeles County, can be broken down into several key components. For fiscal year 2024, the SAFMR (Section 8 Area Fair Market Rent) for a two-bedroom apartment is set at $3,540. This figure represents the maximum amount that the federal government will pay landlords who participate in the Housing Choice Voucher program for a unit of this size in this specific ZIP code.
In contrast, the local market rent for a two-bedroom apartment in ZIP 90403 is currently running at $3,822 according to the ZORI (Zillow Observed Rent Index). This indicates that the local rental market exceeds the SAFMR by approximately $282 per month. However, it's important to understand that the total compensation received by landlords through the Section 8 program includes more than just the SAFMR.
A Section 8 voucher typically covers the difference between the SAFMR and what the tenant can afford to pay, which is usually 30% of their adjusted income. Additionally, there are utility allowances that vary depending on the type of unit and its location. For a two-bedroom apartment in ZIP 90403, these utility allowances can add up to an additional $300-$400 per month to the total reimbursement.
To illustrate, if a tenant's portion of the rent is $1,000 (30% of their adjusted income), the voucher would cover the remaining $2,540 to reach the SAFMR of $3,540. Including utility allowances, the total reimbursement might be around $2,840-$2,940. This leaves a gap of about $882-$982 between the local market rent and the total reimbursement from the voucher program.
In summary, landlords in ZIP 90403 participating in the Section 8 program for a two-bedroom apartment can expect to receive a total reimbursement of around $2,840-$2,940, which is below the local market rent of $3,822. This results in a monthly reimbursement gap of approximately $882-$982.
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.