Location: Urban Honolulu, HI | Metro: Urban Honolulu, HI MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,830 |
| 1 Bedroom | $1,950 |
| 2 Bedrooms | $2,540 |
| 3 Bedrooms | $3,520 |
| 4 Bedrooms | $4,250 |
| 5 Bedrooms | $4,930 |
| 6 Bedrooms | $5,522 |
| 7 Bedrooms | $5,964 |
| 8 Bedrooms | $6,262 |
ZIP code 96823, located in Honolulu, HI, within the Urban Honolulu, HI MSA metro area, can serve as a cash-flow anchor in a Section 8 portfolio strategy. The Fair Market Rent (FMR) for ZIP 96823 in fiscal year 2024 is set at $2390. This figure is crucial for determining the viability of properties under the Section 8 program.
Since the market data and median home values are not available, we must rely on the FMR to assess the potential of this ZIP code. The FMR provides a benchmark for rental rates that ensures tenants can afford their housing while landlords receive stable, government-backed income.
The lack of specific market data makes it challenging to evaluate ZIP 96823 as an appreciation play or diversifier. However, the FMR of $2390 offers a reliable source of income, which is essential for maintaining positive cash flow in a Section 8 portfolio. Given the high cost of living in Honolulu, this FMR represents a significant portion of the average tenant's budget, ensuring steady rental payments.
In conclusion, ZIP 96823 should be considered a cash-flow anchor within a Section 8 portfolio strategy. Its defined FMR of $2390 ensures consistent rental income, which is critical for financial stability and growth in real estate investments.
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.