Location: Urban Honolulu, HI | Metro: Urban Honolulu, HI MSA
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 | $1,800 |
| 1 Bedroom | $1,910 |
| 2 Bedrooms | $2,490 |
| 3 Bedrooms | $3,450 |
| 4 Bedrooms | $4,160 |
| 5 Bedrooms | $4,826 |
| 6 Bedrooms | $5,405 |
| 7 Bedrooms | $5,837 |
| 8 Bedrooms | $6,129 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,910 | $1,171,278 | 0.16% | F |
| 2BR | $2,490 | $1,516,060 | 0.16% | F |
| 3BR | $3,450 | $1,701,393 | 0.2% | F |
| 4BR | $4,160 | $1,939,574 | 0.21% | F |
| 5BR | $4,826 | $2,384,410 | 0.2% | F |
U.S. Census Bureau data (2024)
The ZIP code 96712, located in Haleiwa, HI, presents a unique scenario when analyzed through the lens of yield and stability for real estate investment.
On the yield axis, the Fair Market Rent (FMR) for ZIP 96712 in fiscal year 2024 is set at $2,300. This is notably lower than the market rent of $3,387, indicating that landlords can potentially command higher rents than the FMR. However, the median home value of $1,635,792 suggests that properties in this area are quite expensive. The gap between the FMR and market rent is significant, which could imply a higher potential rental yield compared to the cost of acquisition. For instance, a property valued at $1,635,792 rented out at $3,387 per month would generate an annual rental income of $40,644, equating to a yield of approximately 2.5% based solely on the home value. This is modest but still positive.
Moving to the stability axis, ZIP 96712 has a relatively high percentage of renters at 44.7%. While this figure is substantial, it does not provide a complete picture of stability without knowing the average days on market (DOM), which is currently listed as N/A. The median household income of $88,333 suggests that tenants may have sufficient financial means to cover their rent, though this must be considered alongside the high market rent. Given the high median home value, it's reasonable to infer that the local economy supports a stable tenant base capable of paying higher rents, assuming employment is consistent and the job market is robust.
Based on these figures, ZIP 96712 leans towards being a steady-cashflow zone rather than a high-yield/low-stability market. The modest yield derived from the gap between FMR and market rent, combined with the high median home value, indicates that while returns might not be exceptionally high, they are likely reliable due to the strong economic underpinning and the high percentage of renters. Additionally, the lack of data on days on market does not detract from the overall impression of stability, given the other metrics.
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.