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 |
A skeptical investor considering ZIP 91327 in California might question whether the Fair Market Rent (FMR) of $2,540 for 2024 will sufficiently cover the mortgage on a property. Unfortunately, the data does not provide the median home value for this specific zip code, which makes it challenging to calculate an exact mortgage amount. However, understanding that FMR represents the maximum rent a household can pay while still spending no more than 30% of their income on housing, it is crucial to ensure that any mortgage payment aligns with this figure.
The second objection could be whether there is enough tenant demand at a certain occupancy rate. The data indicates an occupancy rate of N/A%, but without a specific number, it's difficult to gauge the competition for rental properties. Typically, higher occupancy rates suggest strong demand, which can support higher rents. Conversely, lower rates might indicate oversupply, leading to more competitive pricing. Landlords should monitor local vacancy rates to make informed decisions.
A final concern might be if voucher holders will keep up with the market rents in ZIP 91327. With FMR set at $2,540, landlords need to ensure that voucher programs offer comparable amounts. If the voucher payments lag behind the market rents, landlords might struggle to fill units or maintain profitability. The data does not specify the average voucher payment for this area, so landlords should research local housing authority guidelines to understand how voucher payments align with market conditions.
In summary, while the FMR of $2,540 provides a benchmark for acceptable rent levels in ZIP 91327, the lack of detailed data on median home values and occupancy rates leaves some questions unanswered. Landlords must remain vigilant, tracking local real estate trends and rental demands to make sound investment decisions.
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.