Section 8 Fair Market Rent (FMR) for ZIP 93235 - 2027

Location: Visalia, CA | Metro: Visalia, CA MSA

Investment Score for ZIP 93235

D
Monthly Rent (2BR)
$1,360
Median Price (2BR)
$219,411
1% Rule
0.62%
Annual Yield
7.44%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,030
1 Bedroom$1,040
2 Bedrooms$1,360
3 Bedrooms$1,870
4 Bedrooms$2,190
5 Bedrooms$2,540
6 Bedrooms$2,845
7 Bedrooms$3,073
8 Bedrooms$3,227

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,360 $219,411 0.62% D
3BR $1,870 $282,304 0.66% D
4BR $2,190 $310,865 0.7% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
4,678
Median Household Income
$52,083
Housing Units
1,351
Renter Percentage
35.3%
Occupancy Rate
96.9%
Renter Occupied
462

The median income in ZIP code 93235, Ivanhoe, CA, stands at $52,083. This figure provides a baseline for understanding the financial capabilities of the average household in the area. The market rate for rent, according to the Census ACS, is $876 per month. However, the Federal Market Rent (FMR) for ZIP 93235 in fiscal year 2024 is set at $1,120, which represents the standard payment amount for housing vouchers.

To put these numbers into context, consider that the median income allows for a monthly housing budget of approximately $1,413 based on the general rule of thumb that housing costs should not exceed 30% of gross income. At the market rate of $876, most households can afford rent without significant strain, but the gap between the market rate and the FMR becomes more pronounced when looking at the voucher payment standard. This means that landlords accepting vouchers must be prepared to receive a higher rent payment of $1,120 compared to the typical market rate.

With 35.3% of the population being renters and a total population of 4,678, there is a notable demand for rental properties. However, the affordability gap between the market rate and the FMR indicates a potential challenge for landlords. If too many landlords opt out of accepting vouchers due to the higher payment standard, it could lead to increased competition for cash-paying tenants who might prefer lower-cost options, thus affecting overall occupancy rates and rental income stability.

The takeaway for landlords considering their strategy regarding voucher versus cash-pay tenants is clear. Accepting vouchers ensures a steady stream of income at a higher rate ($1,120), which can be beneficial in a competitive market. However, landlords should also be mindful of the potential for increased competition for cash-paying tenants if many choose not to accept vouchers. Balancing the portfolio to include both voucher and cash-pay options may provide a more stable and diversified income source in ZIP 93235.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.