Location: Riverside-San Bernardino-Ontario, CA | Metro: Riverside-San Bernardino-Ontario, CA MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,560 |
| 1 Bedroom | $1,650 |
| 2 Bedrooms | $2,040 |
| 3 Bedrooms | $2,690 |
| 4 Bedrooms | $3,240 |
| 5 Bedrooms | $3,758 |
| 6 Bedrooms | $4,209 |
| 7 Bedrooms | $4,546 |
| 8 Bedrooms | $4,773 |
ZIP 92427, located within the Riverside-San Bernardino-Ontario, CA Metropolitan Statistical Area (MSA), presents an interesting opportunity for inclusion in a Section 8 portfolio strategy. This ZIP code is best categorized as a cash-flow anchor.
The Federal Market Rent (FMR) for ZIP 92427 in fiscal year 2024 is set at $1940 for a one-bedroom unit. Given that there is currently no available data on the market rent or median home value for this specific ZIP code, the FMR serves as a reliable benchmark for determining rental income. Landlords and small-portfolio investors can expect steady, predictable cash flows based on the FMR rates, which are guaranteed by the government.
A cash-flow anchor is essential for any balanced real estate investment portfolio, especially when dealing with Section 8 properties. It ensures that even if other parts of your portfolio experience fluctuations, you have a stable source of income that can help cover expenses and provide consistent returns. In ZIP 92427, the lack of market data means that the FMR is likely to be closely aligned with actual rental values, making it a dependable figure for long-term planning.
While there is no specific data on the percentage of price-cut share or days on market (DOM) for ZIP 92427, these metrics typically indicate whether a property is an appreciation play. Since we do not have such information, we cannot confidently classify ZIP 92427 as an area for significant price appreciation. Similarly, without knowing the percentage of renter share or the median income of the area, it's challenging to assess its role as a diversifier. However, the known FMR provides a solid foundation for considering this ZIP code as a cash-flow anchor.
In conclusion, ZIP 92427 should be seen as a cash-flow anchor within a Section 8 portfolio strategy. The guaranteed rental income at $1940 per month for a one-bedroom unit offers stability and predictability, crucial elements for managing risk and ensuring financial security in real estate investments.
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.