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 | $2,650 |
| 1 Bedroom | $2,960 |
| 2 Bedrooms | $3,650 |
| 3 Bedrooms | $4,630 |
| 4 Bedrooms | $5,180 |
| 5 Bedrooms | $6,009 |
| 6 Bedrooms | $6,730 |
| 7 Bedrooms | $7,268 |
| 8 Bedrooms | $7,631 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,960 | $301,155 | 0.98% | C |
| 2BR | $3,650 | $560,588 | 0.65% | D |
| 3BR | $4,630 | $1,068,708 | 0.43% | F |
| 4BR | $5,180 | $1,551,940 | 0.33% | F |
| 5BR | $6,009 | $3,070,675 | 0.2% | F |
U.S. Census Bureau data (2024)
ZIP code 91316 in Los Angeles, CA, is a renter-heavy area with significant potential for Section 8 tenants. With a population of 29,491, nearly half (49.8%) of residents are renters. This high percentage of renters indicates a robust demand for rental properties, particularly those that can accommodate Section 8 vouchers.
The median household income in ZIP 91316 is $92,311, which provides a benchmark for understanding the economic context of the area. The average market rent of $2,998 per month represents approximately 37% of the median monthly income ($7,692), suggesting that typical rent eats a considerable portion of local incomes. However, the Federal Market Rent (FMR) for FY 2024 is set at $2,940, closely aligning with the market rent. This tight correlation between the FMR and market rent means that Section 8 vouchers can cover a substantial amount of the rent, making it feasible for tenants to afford living in this area.
A landlord in ZIP 91316 should expect tenants who rely on Section 8 vouchers to be part of a diverse mix of renters. These tenants will likely have lower incomes, but the close match between the FMR and market rent ensures that they can find affordable housing options. Additionally, the high proportion of renters in the area suggests that there is a strong likelihood of finding tenants who prefer renting over homeownership, driven by factors such as lifestyle choices, financial circumstances, or temporary residence needs.
In conclusion, ZIP 91316 presents an attractive opportunity for landlords and small-portfolio investors interested in serving a Section 8 tenant base. The high percentage of renters and the alignment of market rents with the FMR indicate a viable and stable tenant pool. Landlords should prepare for a mix of low-income and moderate-income tenants, many of whom will use Section 8 vouchers to cover their rent.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.