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 | $1,850 |
| 1 Bedroom | $2,030 |
| 2 Bedrooms | $2,660 |
| 3 Bedrooms | $3,360 |
| 4 Bedrooms | $4,150 |
| 5 Bedrooms | $4,814 |
| 6 Bedrooms | $5,392 |
| 7 Bedrooms | $5,823 |
| 8 Bedrooms | $6,114 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,030 | $232,301 | 0.87% | C |
| 2BR | $2,660 | $499,666 | 0.53% | F |
| 3BR | $3,360 | $636,222 | 0.53% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 96770, located in the Kahului-Wailuku-Lahaina area of Maui County, Hawaii, reveals several key insights. The HUD Fair Market Rent (FMR) for the area is set at $1790 for the fiscal year 2024, which is significantly higher than the market rent reported by the Census ACS at $1,208. This indicates that voucher tenants can generate positive cash flow when renting at the HUD FMR rate.
To understand the financial viability further, consider the median home value in the area, which stands at $290,674. Using this figure, we can calculate the rent-to-price ratio. With an annual rent of $1790 x 12 months = $21,480, the rent-to-price ratio is approximately 7.4%, calculated as ($21,480 / $290,674) * 100. This suggests that rental income is relatively low compared to the purchase price of homes, but still provides a solid cash flow opportunity for investors.
The data shows that the average days on market (DOM) for properties is N/A, and the percentage of homes that require price cuts is 0.1%. These figures indicate a strong seller's market where properties sell quickly without needing significant price adjustments. In such a market, the dynamics between buying and renting favor landlords who can capitalize on the high demand for housing.
Given these factors, the strongest investment angle in ZIP 96770 is cash flow. The disparity between the HUD FMR and the actual market rent means that landlords can receive substantial subsidies through Section 8 vouchers, leading to a positive cash flow scenario even in a region with high property values. While appreciation and stability are also important considerations, the immediate financial benefit of cash flow makes it the most compelling reason for Section 8 investors to target this ZIP code.
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.