Location: Kahului-Wailuku-Lahaina, HI | Metro: Kahului-Wailuku-Lahaina, HI 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 | $2,330 |
| 1 Bedroom | $2,560 |
| 2 Bedrooms | $3,350 |
| 3 Bedrooms | $4,230 |
| 4 Bedrooms | $5,230 |
| 5 Bedrooms | $6,067 |
| 6 Bedrooms | $6,795 |
| 7 Bedrooms | $7,339 |
| 8 Bedrooms | $7,706 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,560 | $1,048,878 | 0.24% | F |
| 2BR | $3,350 | $1,179,128 | 0.28% | F |
| 3BR | $4,230 | $1,312,839 | 0.32% | F |
| 4BR | $5,230 | $1,587,439 | 0.33% | F |
| 5BR | $6,067 | $1,869,244 | 0.32% | F |
U.S. Census Bureau data (2024)
The Section 8 market analysis for ZIP 96708 (Haiku, HI, Maui County County, Kahului-Wailuku-Lahaina, HI HUD Metro FMR Area metro) reveals a significant gap between the HUD Fair Market Rent (FMR) and the actual market rents. The HUD FMR for ZIP 96708 is set at $2,600 for the fiscal year 2024, whereas the Zillow Observed Rent Index (ZORI) indicates that the market rent is $3,698. This means that landlords accepting Section 8 vouchers will only cashflow marginally in this area unless they focus on premium units that can command higher rents.
To further analyze the investment potential, consider the median home value in the area, which stands at $1,302,931. Using this figure, we can derive a rent-to-price ratio of approximately 0.28%, calculated by dividing the HUD FMR of $2,600 by the median home value. This ratio suggests that rental income is relatively low compared to the high property values, making it less attractive for buy-and-hold investors seeking strong cash flow returns.
The dynamics of the rental versus buying market also play a role in investment decisions. With the median Days on Market (DOM) being N/A and a negligible 0.1% of properties requiring price cuts, the market appears stable and favoring sellers. However, these metrics do not directly impact the decision-making process for Section 8 investors, who must focus primarily on the HUD FMR and market rent figures.
The strongest investor angle in ZIP 96708 is likely to be appreciation, given the high median home value and the potential for continued growth in property prices. While cash flow may be limited due to the disparity between HUD FMR and market rents, the long-term potential for capital gains makes this area particularly appealing for Section 8 investors looking to build equity over time.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.