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 | $3,230 |
| 1 Bedroom | $3,610 |
| 2 Bedrooms | $4,450 |
| 3 Bedrooms | $5,650 |
| 4 Bedrooms | $6,320 |
| 5 Bedrooms | $7,331 |
| 6 Bedrooms | $8,211 |
| 7 Bedrooms | $8,868 |
| 8 Bedrooms | $9,311 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $4,450 | $611,987 | 0.73% | D |
| 3BR | $5,650 | $750,631 | 0.75% | D |
| 4BR | $6,320 | $909,223 | 0.7% | D |
| 5BR | $7,331 | $1,113,347 | 0.66% | D |
U.S. Census Bureau data (2024)
Santa Clarita, CA's ZIP code 91354 is characterized by a relatively affluent residential area with a total population of 33,957. Only 22.7% of the residents are renters, indicating a predominantly owner-occupied community. The median household income stands at a robust $156,173, reflecting a high standard of living. Correspondingly, the median home value in this ZIP code is $843,418, which aligns with the financial capability of its inhabitants.
Transitioning to the economic landscape of rental properties, the Fair Market Rent (FMR) for ZIP 91354 for fiscal year 2024 is set at $3,820. This figure is notably higher than the market rent, as indicated by the Zillow Observed Rent Index (ZORI), which currently sits at $3,207. This disparity suggests that there is potential for landlords to benefit from the government's willingness to pay above-market rates for rental units through the Section 8 program.
Given these conditions, ZIP 91354 would be suitable for both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the high FMR compared to the market rent ensures a steady stream of income without the need for extensive property management or improvements. On the other hand, for hands-on investors looking to add value, the opportunity exists to renovate properties and potentially command higher rents that still fall within the FMR guidelines, thereby attracting tenants who can leverage the Section 8 subsidy. In either case, the strong underlying fundamentals of the ZIP code, including its high median income and home values, provide a solid foundation for investment success.
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.