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 | $3,010 |
| 1 Bedroom | $3,360 |
| 2 Bedrooms | $4,150 |
| 3 Bedrooms | $5,270 |
| 4 Bedrooms | $5,890 |
| 5 Bedrooms | $6,832 |
| 6 Bedrooms | $7,652 |
| 7 Bedrooms | $8,264 |
| 8 Bedrooms | $8,677 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $4,150 | $559,678 | 0.74% | D |
| 3BR | $5,270 | $778,314 | 0.68% | D |
| 4BR | $5,890 | $1,094,199 | 0.54% | F |
| 5BR | $6,832 | $1,398,303 | 0.49% | F |
U.S. Census Bureau data (2024)
The Section 8 market analysis for ZIP code 91381, Stevenson Ranch, California, reveals a competitive rental environment with clear opportunities for investors. The HUD Fair Market Rent (FMR) for a two-bedroom unit in this area for fiscal year 2024 is set at $3,510. In comparison, the actual market rent, as indicated by the Zillow Observed Rent Index (ZORI), stands at $3,152. This means that voucher tenants can generally cover their rents at the FMR level, providing a positive cash flow scenario for landlords.
Investors should note that while the HUD FMR slightly exceeds the ZORI, the difference is marginal, indicating that landlords can still maintain a steady cash flow even with voucher tenants. However, it's crucial to consider the condition and location of the property, as premium units in desirable locations may command rents closer to the FMR.
The median home value in ZIP 91381 is $969,445. Using this figure, we can calculate a rent-to-price ratio, which helps assess the relative attractiveness of renting versus buying. For a two-bedroom unit, the rent-to-price ratio is approximately 0.3%, suggesting that renting remains a cost-effective option for residents compared to purchasing a home.
Current market conditions show a 30-day median Days on Market (DOM) and a price-cut share of 0.2%. These metrics indicate a relatively stable market where properties are selling quickly without significant discounts. Such dynamics favor landlords who can leverage the strong rental demand to keep vacancy rates low and maintain consistent income streams.
In conclusion, the strongest investor angle in ZIP 91381 is cash flow. Given the HUD FMR and the current market rent, landlords can expect to generate a positive cash flow with voucher tenants, making this area particularly attractive for those focused on rental income stability and returns.
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.