Location: Stockton-Lodi, CA | Metro: Stockton-Lodi, CA MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,140 |
| 1 Bedroom | $1,210 |
| 2 Bedrooms | $1,500 |
| 3 Bedrooms | $2,080 |
| 4 Bedrooms | $2,510 |
| 5 Bedrooms | $2,912 |
| 6 Bedrooms | $3,261 |
| 7 Bedrooms | $3,522 |
| 8 Bedrooms | $3,698 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 95253 within the Stockton-Lodi, CA MSA reveals several key points for real-estate investors considering Section 8 properties.
The rent math does not work favorably for landlords. The Fair Market Rent (FMR) set at $1610 for FY 2024 exceeds the current market rent of $1,310, based on Census ACS data. This discrepancy means that landlords participating in the Section 8 program would receive higher rental income compared to the local market rate, which stands at a $290 monthly advantage per unit.
Regarding property acquisition, the metrics suggest caution. The median home value is listed as N/A, indicating incomplete data. Similarly, the days on market (DOM) and the percentage of homes requiring price cuts before selling are also marked as N/A. These gaps in information make it difficult to assess the affordability and market conditions for acquiring new properties.
Tenant demand is robust in ZIP 95253. With a population of 609 and a significant 70.7% renter share, there is a strong base of potential tenants who qualify for housing assistance through Section 8. This high proportion of renters ensures a steady demand for subsidized housing units.
Verdict: While the higher FMR offers an attractive financial incentive for landlords, the lack of detailed acquisition metrics poses a risk. Investors should proceed with due diligence, focusing on the strong tenant demand but remaining cautious about the cost and ease of property acquisition until more comprehensive data is available.
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.