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Updated about 1 year ago on . Most recent reply

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Robert-Lee Pass
33
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52
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Are these numbers real ?! Using Section 8 FMR as Rental Comps

Robert-Lee Pass
Posted

Hey everyone so real quick Ive got a question about Section 8 . First of all what is your thoughts on using the section 8 fair market rent number as the comps for what i can get for a unit , and secondly will section 8 care about a garage or the square footage of the unit ?

I believe sq footage doesn't matter and its only Bed/Bath count that do but what about the garage ?

SECOND : I was doing research on the actual Max allowable rent for a particular county. I am finding numbers that say 1500 across the county and then i see numbers that say something completely different when I go to HUDuser.Gov. I want to believe the data they are showing but the top line they show is actually the zipcode i live in 80817 and its showing 3400 for a 4 bed when a 4 bed here is only 2400 market so I feel like that error means i have to scrutinize the whole data sheet.

If anyone has a second would you mind researching really fast as to what the Max Rent amounts are for Zipcode 81007 3 bed 2 bath (I'm seeing 1500 on some and 1840 on others , but that 1840 is what a new build class A rents for in that neighborhood / Zip. so its got me questioning. 

Thanks everyone .I'm about 2 months out from closing on a duplex . rental comps are currently 1600 a side for one of the units I'm buying .. I'm trying to see if 1500 is the Section 8 amount or 1850 because its right there on my comps of 1600 .

  • Robert-Lee Pass
  • Most Popular Reply

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    19
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    Calvin Graves
    • Denver, CO
    14
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    Calvin Graves
    • Denver, CO
    Replied

    Pueblo Housing Authority says the SAFMR for a 3 br in 81007 is $1870

    https://hapueblo.org/housing-programs/section-8-housing-choi...


    BUT...HUD FMR is intended to cover both rent *and utilities*. Which explains why it looks really high.

    Here is this year's worksheet to determine how big the utility allowance is: https://drive.google.com/file/d/137qEO_g8q9VX8nya77V74C94yrm...

    That said, you can charge more for rent than the SAFMR, it just won't all be subsidized. And you may have to explain the situation to HUD. I don't think they want to subsidize units going above market rate without a good reason.

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