Location: Bakersfield-Delano, CA | Metro: Bakersfield-Delano, CA MSA
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,140 |
| 1 Bedroom | $1,150 |
| 2 Bedrooms | $1,490 |
| 3 Bedrooms | $2,060 |
| 4 Bedrooms | $2,490 |
| 5 Bedrooms | $2,888 |
| 6 Bedrooms | $3,235 |
| 7 Bedrooms | $3,494 |
| 8 Bedrooms | $3,669 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,490 | $224,208 | 0.66% | D |
| 3BR | $2,060 | $324,181 | 0.64% | D |
| 4BR | $2,490 | $472,271 | 0.53% | F |
U.S. Census Bureau data (2024)
The potential risks for investing in Section 8 properties in ZIP code 93301 in Bakersfield, CA, are significant. First, tenant turnover could be a major issue due to the disparity between the market rent of $1,429 and the Fair Market Rent (FMR) set by the government at $1,100 for FY 2024. This difference can lead to frequent moves by tenants seeking more affordable housing options.
Vacancy exposure is another concern, as the Days on Market (DOM) figure is not available. This lack of data makes it difficult to predict how long a property might remain vacant between tenancies, potentially leading to significant financial losses for landlords.
Deferred maintenance is also a risk factor. With an average home value of $310,056 and a median income of $43,561, landlords must be prepared for the possibility that tenants may not have the resources to maintain the property at the same level as a higher-income tenant would. This could result in increased repair costs and maintenance expenses over time.
Despite these risks, there are several factors that mitigate them. The renter share in ZIP 93301 is 63.5%, indicating a high concentration of renters who may be interested in Section 8 vouchers. High renter density typically correlates with greater demand for rental assistance programs, which can provide a steady stream of tenants for landlords willing to participate in the Section 8 program.
In conclusion, the investment risk for a first-time Section 8 landlord in ZIP 93301 is moderate.
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.