Location: Nome Census Area, AK | Metro: Nome Census Area, AK
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,370 |
| 1 Bedroom | $1,500 |
| 2 Bedrooms | $1,770 |
| 3 Bedrooms | $2,450 |
| 4 Bedrooms | $2,910 |
| 5 Bedrooms | $3,376 |
| 6 Bedrooms | $3,781 |
| 7 Bedrooms | $4,083 |
| 8 Bedrooms | $4,287 |
U.S. Census Bureau data (2024)
In ZIP code 99762, the economics of Section 8 vouchers for landlords and small-portfolio investors are defined by the SAFMR (Small Area Fair Market Rent) rates established by HUD. For a two-bedroom apartment, the SAFMR is set at $1,670 per month for the fiscal year 2026. This figure represents the maximum amount that a Section 8 voucher will cover in this specific ZIP code.
The local market rent, according to the latest Census ACS data, is slightly lower at $1,634 per month for a similar two-bedroom unit. This indicates that the SAFMR for ZIP 99762 is above the average local market rent, which can be beneficial for landlords who might otherwise struggle to fill units at the market rate.
A Section 8 voucher pays a significant portion of the rent directly to the landlord on behalf of the tenant. However, it's crucial to understand that the voucher does not cover the entire cost. The tenant is responsible for paying approximately 30% of their adjusted income towards the rent, plus any applicable utility allowances. If we assume an average adjusted income of $1,000 per month for a Section 8 participant, then the tenant would contribute around $300 towards the rent.
The remaining amount is covered by the voucher. In this case, the voucher would pay up to $1,670 minus the tenant's contribution of $300, totaling $1,370. It's important to note that if the local market rent is below the SAFMR, the voucher payment will still only go up to the market rent level, ensuring that the landlord receives the full market value of the rental property. Thus, the actual reimbursement to the landlord would be closer to $1,334, assuming the market rent remains stable at $1,634.
This system ensures that landlords are not left with a substantial reimbursement gap. In ZIP 99762, the typical reimbursement for a two-bedroom unit under a Section 8 voucher is expected to match the local market rent, leaving no significant surplus or deficit for landlords. Landlords should also consider that utility allowances are separate and can vary based on the tenant's needs and the local utility costs.
Data Sources: FMR data from HUD (2027). 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.