Section 8 Fair Market Rent (FMR) for ZIP 94131 - 2027

Location: San Francisco, CA | Metro: San Francisco, CA HUD Metro FMR Area

Investment Score for ZIP 94131

Monthly Rent (2BR)

$4,020

Median Price (2BR)

$1,429,889

1% Rule

0.28%

Annual Yield

3.37%

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	$2,800
1 Bedroom	$3,270
2 Bedrooms	$4,020
3 Bedrooms	$5,250
4 Bedrooms	$5,910
5 Bedrooms	$6,856
6 Bedrooms	$7,679
7 Bedrooms	$8,293
8 Bedrooms	$8,708

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
1BR	$3,270	$650,641	0.5%	F
2BR	$4,020	$1,429,889	0.28%	F
3BR	$5,250	$1,992,559	0.26%	F
4BR	$5,910	$2,629,231	0.22%	F
5BR	$6,856	$3,214,238	0.21%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

28,504

Median Household Income

$199,211

Housing Units

13,920

Renter Percentage

46.0%

Occupancy Rate

90.0%

Renter Occupied

5,760

The ZIP code 94131, located in San Francisco, CA, is a prime real estate area characterized by high-end residential properties and a significant population of renters. This district is known for its upscale neighborhoods and proximity to major business hubs, making it an attractive location for both residents and investors.

The Fair Market Rent (FMR) for ZIP 94131 in fiscal year 2024 is set at $3510, indicating the average rental cost approved by HUD for a two-bedroom apartment.
The actual market rent, as measured by Zillow's ZORI index, stands at $4,154, reflecting the higher rents commanded by the competitive local market.
The median home value in this ZIP code is a substantial $1,659,812, placing it among the most expensive areas in San Francisco.
Renters make up 46.0% of the housing stock, suggesting a robust demand for rental properties.
The days on market (DOM) for rental listings in 94131 is just 12 days, demonstrating how quickly units are typically leased in this area.
The median household income is a high $199,211, which supports the ability of residents to afford premium rents and property values.

Given the data points above, investors should recognize that ZIP 94131 offers a strong rental market with high demand and short vacancy periods. The disparity between the HUD-approved FMR and the actual market rent indicates a potential for higher returns on investment. However, the high median home value also suggests that competition for rental properties is intense, and maintaining a high-quality unit is essential to securing tenants willing to pay top dollar. The high median income further underlines the economic strength of the area, ensuring that tenants can consistently meet their financial obligations. Overall, 94131 presents a lucrative opportunity for investors focused on rental income in a stable, affluent market.

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.