Location: Santa Ana-Anaheim-Irvine, CA | Metro: Santa Ana-Anaheim-Irvine, 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 | $2,990 |
| 1 Bedroom | $3,020 |
| 2 Bedrooms | $3,540 |
| 3 Bedrooms | $4,810 |
| 4 Bedrooms | $5,750 |
| 5 Bedrooms | $6,670 |
| 6 Bedrooms | $7,470 |
| 7 Bedrooms | $8,068 |
| 8 Bedrooms | $8,471 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $3,020 | $846,112 | 0.36% | F |
| 2BR | $3,540 | $1,506,564 | 0.23% | F |
| 3BR | $4,810 | $2,616,765 | 0.18% | F |
| 4BR | $5,750 | $4,418,598 | 0.13% | F |
| 5BR | $6,670 | $6,357,024 | 0.1% | F |
U.S. Census Bureau data (2024)
Newport Beach, CA, represented by ZIP code 92663, stands out among other Orange County ZIPs due to its high median home value of $2,661,630 and a median income of $141,541, indicating a wealthy demographic. Despite these high figures, 51.6% of the 21,368 residents rent their homes, suggesting a significant presence of renters in an otherwise affluent area.
The voucher economics in Newport Beach are particularly interesting. The Fair Market Rent (FMR) for the zip code in fiscal year 2024 is set at $2,920, which is slightly higher than the current market rent as measured by the Zillow Observed Rental Index (ZORI), at $2,804. This indicates that landlords participating in the Section 8 program could potentially receive slightly above-market rents, making it an attractive option for property owners looking to secure stable rental income.
Given the data signature of Newport Beach, the ZIP code appears to be relatively stable. The high median income and home values suggest a robust local economy and a strong demand for housing. However, the high percentage of renters indicates a dynamic housing market where many choose to rent rather than buy, possibly due to the high cost of homeownership. This combination of factors creates a unique opportunity for landlords and small-portfolio investors who can leverage the slightly above-market FMR to attract tenants while maintaining competitive pricing.
In summary, Newport Beach offers a distinctive blend of wealth and rental demand, making it a prime location for those interested in the Section 8 program. Landlords can expect to benefit from both the economic stability of the area and the slight premium offered by the FMR.
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.