Location: Los Angeles-Long Beach-Glendale, CA | Metro: Los Angeles-Long Beach-Glendale, CA 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 | $2,220 |
| 1 Bedroom | $2,480 |
| 2 Bedrooms | $3,060 |
| 3 Bedrooms | $3,880 |
| 4 Bedrooms | $4,340 |
| 5 Bedrooms | $5,034 |
| 6 Bedrooms | $5,638 |
| 7 Bedrooms | $6,089 |
| 8 Bedrooms | $6,393 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $3,060 | $691,785 | 0.44% | F |
| 3BR | $3,880 | $776,424 | 0.5% | F |
| 4BR | $4,340 | $821,923 | 0.53% | F |
| 5BR | $5,034 | $955,949 | 0.53% | F |
U.S. Census Bureau data (2024)
The rent math in ZIP 90670 does not favor landlords. The Fair Market Rent (FMR) set at $2520 for the fiscal year 2024 contrasts sharply with the actual market rent, which stands at $3,087 according to ZORI. This indicates that tenants are expected to pay less than what the market demands, making it challenging to cover operational costs and generate profit.
Acquisition in this area is moderately affordable, with a median home value of $783,118. However, the lack of data on days on market (DOM) and the low 0.2% price-cut share suggest limited negotiation room for potential buyers. Landlords should expect to pay close to the listed price without significant discounts.
Tenant demand in ZIP 90670 is substantial, given its population of 17,851 and a renter share of 37.2%. These numbers imply a steady pool of potential renters, ensuring that units can be filled relatively quickly. Yet, the challenge lies in the disparity between FMR and market rent rates, which could impact the ability to attract and retain tenants willing to pay higher rents.
In summary, while there is a robust tenant base in ZIP 90670, the discrepancy between the HUD's Fair Market Rent and the actual market rent poses a significant risk for landlords and small-portfolio investors. The affordability of acquisitions is somewhat balanced by the high median home values, but the limited negotiation space and lower FMR rates suggest that rental properties must be managed efficiently to remain profitable. Investors should carefully consider these factors before entering this market.
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.