Section 8 Fair Market Rent (FMR) for ZIP 92318 - 2027

FY 2027 Fair Market Rent Rates

The classification of ZIP code 92318 in Unknown, CA, hinges on the available data points for the area. Specifically, we can analyze the market through the lens of yield and stability.

Yield: The Fair Market Rent (FMR) for ZIP 92318 in fiscal year 2024 is set at $1940. This figure represents the maximum amount that a landlord can charge for rent under the Section 8 program. However, without comparative data on the local market rents and home values, it's challenging to fully assess the yield potential. If the FMR is higher than typical market rates, landlords could see a higher yield, but this would require additional research into local rental trends.

Stability: Stability in the rental market is often gauged by factors such as the percentage of residents who are renters, the average number of days a property remains on the market (DOM), and the median household income. Unfortunately, the data provided does not include these metrics for ZIP 92318. Without this information, it's impossible to determine the level of stability in the market.

In conclusion, based on the given data, ZIP 92318 offers a clear yield benchmark with an FMR of $1940 for the upcoming fiscal year. However, the lack of other critical data points—such as local market rents, home values, the percentage of renters, DOM, and median income—prevents a comprehensive assessment of stability. Therefore, ZIP 92318 cannot be definitively classified as either a high-yield/low-stability flip-style market or a steady-cashflow zone without further investigation into these missing variables.

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.