Location: Bakersfield-Delano, CA | Metro: Bakersfield-Delano, CA MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,300 |
| 1 Bedroom | $1,310 |
| 2 Bedrooms | $1,700 |
| 3 Bedrooms | $2,350 |
| 4 Bedrooms | $2,840 |
| 5 Bedrooms | $3,294 |
| 6 Bedrooms | $3,689 |
| 7 Bedrooms | $3,984 |
| 8 Bedrooms | $4,183 |
U.S. Census Bureau data (2024)
The Section 8 analysis for ZIP code 93581 centers around the disparity between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR stands at $1260. However, the market rent for the area is currently unreported, indicated by "N/A". This absence of market rent data makes it challenging to quantify the exact dollar gap and percentage difference between the FMR and the market rate.
In the context where the FMR exceeds the market rent, properties in ZIP 93581 could become attractive investments for landlords and small-portfolio investors due to the potential for higher yields. Voucher tenants would be able to pay rents that are closer to the market rate, thereby providing landlords with a steady income stream above the subsidized rate. This scenario would allow investors to capitalize on the difference between what the government pays and what the tenant contributes, leading to increased cash flow.
Conversely, if the FMR were to fall below the market rent, landlords would face the decision of accepting lower rents through housing vouchers. The cost of housing voucher tenants below open-market rates would mean landlords might have to adjust their expectations and possibly reduce their profit margins. In such a case, the total rental income would be less than what could be achieved in the open market, but still potentially viable given the security of guaranteed payments from the housing authority.
The overall rental market in ZIP 93581 is characterized by N/A% of residents being renters, with a median home value of N/A and a median income of N/A. These figures provide a backdrop against which the FMR and market rent dynamics can be understood. Given the incomplete data, further investigation into the local rental market trends and specific property values would be necessary to make a comprehensive assessment.
Data Sources: FMR data from HUD (2027). 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.