Fair Market Rent Law and Legal Definition
According to 24 CFR 5.100 (Title 24 - Housing And Urban Development Subtitle A - Office Of The Secretary, Department Of Housing And Urban Development; Part 5 - General HUD Program Requirements; Waivers; Subpart A - Generally Applicable Definitions And Federal Requirements; Waivers), Fair Market Rent (FMR) means “the rent that would be required to be paid in the particular housing market area in order to obtain privately owned, decent, safe and sanitary rental housing of modest (non-luxury) nature with suitable amenities. This Fair Market Rent includes utilities (except telephone). Separate Fair Market Rents will be established by HUD for dwelling units of varying sizes (number of bedrooms) and will be published in the Federal Register in accordance with part 888 of 24 CFR 5.100.”
