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 | $2,200 |
| 1 Bedroom | $2,460 |
| 2 Bedrooms | $3,030 |
| 3 Bedrooms | $3,840 |
| 4 Bedrooms | $4,300 |
| 5 Bedrooms | $4,988 |
| 6 Bedrooms | $5,587 |
| 7 Bedrooms | $6,034 |
| 8 Bedrooms | $6,336 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,460 | $379,787 | 0.65% | D |
| 2BR | $3,030 | $637,411 | 0.48% | F |
| 3BR | $3,840 | $783,863 | 0.49% | F |
| 4BR | $4,300 | $861,551 | 0.5% | F |
| 5BR | $4,988 | $1,002,419 | 0.5% | F |
U.S. Census Bureau data (2024)
Los Angeles 91335, also known as Reseda, sits in the central San Fernando Valley and is characterized by a mix of post-war ranch-style homes and dense multi-family apartment buildings. The neighborhood has evolved into a working-class hub with a distinct suburban feel, bolstered by the presence of major healthcare institutions like Providence Cedars-Sinai Tarzana Medical Center just to the south, which provides a steady base of local employment. Recent revitalization efforts along the main commercial corridors have attracted new restaurants and retail, improving the area’s appeal while maintaining relatively affordable entry points compared to coastal LA markets.
Financially, the data reveals a narrow gap between subsidies and the private market. The HUD Fair Market Rent (FMR) for a 2-bedroom unit is $2,650, while Zillow’s market rent estimate sits slightly lower at $2,520, resulting in a $130 premium for voucher holders. The wider FY2026 FMR ladder offers robust ceilings, reaching $3,360 for three-bedroom units. Asset values remain high, with a median home value of $806,454 and a specific median 2BR sale price of $642,400. Properties move at a moderate pace, with a median of 49 days on market, indicating a balanced turnover rather than a feeding frenzy.
With 49.8% of the population renting and a median household income of $80,143, the tenant pool is substantial yet price-sensitive, creating strong demand for the payment security offered by Section 8. Families are drawn to the area for access to the Los Angeles Unified School District, including highly rated options like Cleveland Charter High School, and the convenience of the Metro Orange Line busway, which facilitates transit to neighboring job centers. These amenities support a consistent pool of applicants who meet income criteria but need rental assistance to bridge the gap between local wages and housing costs.
The Section 8 verdict for 91335 leans heavily toward stability and modest cash flow. Because the 2BR FMR exceeds the current market rent by $130, investors can secure guaranteed payments at the top of the neighborhood range, reducing vacancy risk. While the high median home value suggests appreciation potential, the immediate strength lies in the ability to achieve market-rate or slightly above-market income through the voucher program in a location with proven, long-term rental demand.
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.