Location: Los Angeles-Long Beach-Glendale, CA | Metro: Los Angeles-Long Beach-Glendale, CA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,150 |
| 1 Bedroom | $2,400 |
| 2 Bedrooms | $2,960 |
| 3 Bedrooms | $3,760 |
| 4 Bedrooms | $4,200 |
| 5 Bedrooms | $4,872 |
| 6 Bedrooms | $5,457 |
| 7 Bedrooms | $5,894 |
| 8 Bedrooms | $6,189 |
The ZIP code 90832, located within the Los Angeles-Long Beach-Glendale, CA HUD Metro FMR area, can serve as a cash-flow anchor within a Section 8 portfolio strategy. This designation is due to the fact that the Fair Market Rent (FMR) for ZIP 90832 in fiscal year 2024 is set at $2540. Although specific market data and median home values were not provided, the FMR figure indicates a stable rental income potential for properties in this area.
A cash-flow anchor is crucial for landlords and small-portfolio investors because it ensures a steady stream of income. The FMR of $2540 represents the maximum amount that the government will pay for rental subsidies in this ZIP code. By acquiring properties that can be rented out at or near this rate, investors can secure predictable monthly cash flows without the need to constantly adjust rents or worry about tenant turnover.
While appreciation plays and diversifiers can offer additional benefits, such as capital gains and a mix of renters and homeowners, the primary focus for a Section 8 portfolio should be on generating reliable income. ZIP 90832, with its defined FMR, provides a solid foundation for achieving this goal.
Data Sources: FMR data from HUD (2027).
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.