Location: Kahului-Wailuku-Lahaina, HI | Metro: Kahului-Wailuku-Lahaina, HI HUD Metro FMR Area
| 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 |
The economics of Section 8 housing in ZIP code 96788, located in Kahului-Wailuku-Lahaina County, Hawaii, can be broken down into several key components. For a two-bedroom apartment, the SAFMR (Small Area Fair Market Rent) for fiscal year 2024 is set at $2140. This figure is specifically tailored for this ZIP code, meaning it reflects the rental rates appropriate for the unique conditions of 96788.
A landlord participating in the Section 8 program will receive a subsidy based on the SAFMR minus the tenant's portion of the rent. The tenant's portion is typically 30% of their adjusted income, which is calculated by the Housing Authority. Assuming an average tenant contribution of $642, the remaining amount would be covered by the voucher. However, this calculation also includes utility allowances, which vary but generally add up to around $300 per month.
This means the total monthly reimbursement a landlord can expect from the voucher program for a two-bedroom unit would be approximately $2140. This includes both the base rent and utility allowance. Therefore, the actual subsidy received by the landlord would be the SAFMR minus the tenant's share plus the utility allowance, equating to roughly $1800.
To summarize the economic impact for a landlord in ZIP 96788, the typical reimbursement gap for a two-bedroom unit would be a shortfall of about $340 compared to the SAFMR. This gap represents the difference between the total SAFMR and the combined voucher payment and tenant contribution.
Note that while the SAFMR provides a benchmark for rental subsidies, the actual amounts paid can vary based on individual tenant circumstances and the specific terms of the voucher. Local market rents were not available at the time of this analysis, but they often influence the overall housing economy and can provide additional context when comparing to the SAFMR.
Data Sources: FMR data from HUD (2027).
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.