Section 8 Fair Market Rent (FMR) for ZIP 91346 - 2027

FY 2027 Fair Market Rent Rates

The economics of Section 8 housing in ZIP code 91346, part of the Los Angeles-Long Beach-Glendale County area, operate under specific financial guidelines that landlords need to understand. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2024 is set at $2540. This figure is crucial because it represents the maximum amount that a Section 8 housing voucher can cover for rent in this particular area.

To break down the payment structure, the voucher does not cover the entire rent amount. Instead, it reimburses the landlord for the difference between the tenant's contribution and the SAFMR. Typically, the tenant is expected to pay 30% of their income towards rent. For instance, if a tenant has an income of $2000 per month, they would contribute $600 towards the rent. The remaining $1940 would be covered by the voucher program up to the SAFMR limit of $2540. If the rent exceeds $2540, the landlord must either lower the rent or accept a higher vacancy rate since the voucher will not cover any amount above this threshold.

In addition to the rent, the voucher also includes utility allowances which vary based on the size of the unit and the region. For a two-bedroom apartment in ZIP 91346, these allowances can help offset some of the costs associated with utilities. However, the exact amount of these allowances is not specified in the data provided and would need to be calculated based on the individual tenant's situation and the local utility rates.

Given that the SAFMR is set specifically for this ZIP code, landlords should expect that the reimbursement rate applies only to properties within 91346. If the local market rent is higher than the SAFMR, landlords might face a reimbursement gap. Conversely, if the local market rent is lower, landlords could see a surplus. Since the local market rent for ZIP 91346 is listed as N/A, we cannot provide a comparison to the SAFMR; however, it's important to note that the SAFMR of $2540 is the cap for reimbursement.

Landlords in ZIP 91346 should be aware that the SAFMR sets a clear ceiling on the amount they can receive from the voucher program for a two-bedroom apartment. If the local market rent exceeds this amount, landlords will have to decide whether to adjust their rental prices to align with the SAFMR or risk having fewer tenants who qualify for the voucher program. In scenarios where the local market rent is lower, landlords can still charge up to the SAFMR without leaving a significant reimbursement gap.

The typical reimbursement gap or surplus for a two-bedroom apartment in ZIP 91346 cannot be accurately determined without knowing the local market rent. Landlords should monitor market conditions closely to ensure they are maximizing their returns while staying within the bounds of the SAFMR.

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.