Location: San Francisco, CA | Metro: San Francisco, CA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,570 |
| 1 Bedroom | $3,000 |
| 2 Bedrooms | $3,690 |
| 3 Bedrooms | $4,830 |
| 4 Bedrooms | $5,440 |
| 5 Bedrooms | $6,310 |
| 6 Bedrooms | $7,067 |
| 7 Bedrooms | $7,632 |
| 8 Bedrooms | $8,014 |
U.S. Census Bureau data (2024)
The rent math in ZIP 94129 does not favor landlords. The Fair Market Rent (FMR) set at $4310 for the fiscal year 2024 is significantly below the market rent, which stands at $6,055 according to ZORI. This discrepancy means that landlords could be losing out on potential income if they adhere strictly to the FMR guidelines.
Acquisition in ZIP 94129 is challenging due to its high median home value of $1,555,884. The lack of available data on days on market (DOM) and the percentage of homes needing price cuts suggests that the housing market is stable but expensive. For small-portfolio investors, the high entry cost could be prohibitive without a clear understanding of the local real estate dynamics.
Tenant demand is robust in ZIP 94129. With a population of 3,836 and a renter share of 100%, there is a strong indication that nearly all residents are seeking rental properties. This high demand can be advantageous for landlords who can manage their properties effectively and offer competitive rents.
In conclusion, while ZIP 94129 presents a high tenant demand scenario with all residents renting, the rent math is unfavorable for landlords when comparing the FMR to market rent. Additionally, the high median home value makes acquisitions costly, potentially limiting opportunities for small-portfolio investors. Landlords must carefully assess their ability to compete with market rents and manage costs effectively to succeed in this area.
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.