Section 8 Fair Market Rent (FMR) for ZIP 94502 - 2027

Location: Oakland-Fremont, CA | Metro: Oakland-Fremont, CA HUD Metro FMR Area

Investment Score for ZIP 94502

F
Monthly Rent (2BR)
$3,060
Median Price (2BR)
$858,510
1% Rule
0.36%
Annual Yield
4.28%

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$2,210
1 Bedroom$2,520
2 Bedrooms$3,060
3 Bedrooms$3,900
4 Bedrooms$4,640
5 Bedrooms$5,382
6 Bedrooms$6,028
7 Bedrooms$6,510
8 Bedrooms$6,836

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 $3,060 $858,510 0.36% F
3BR $3,900 $1,117,785 0.35% F
4BR $4,640 $1,504,467 0.31% F
5BR $5,382 $2,101,193 0.26% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
13,430
Median Household Income
$180,938
Housing Units
4,991
Renter Percentage
14.0%
Occupancy Rate
95.8%
Renter Occupied
670

The ZIP code 94502 is situated in the city of Alameda, California, representing a neighborhood with a total population of 13,430 residents. Only 14.0% of these residents are renters, indicating a predominantly owner-occupied area. The median household income here stands at a robust $180,938, reflecting a community where financial stability is prevalent among its inhabitants. This affluence is further underscored by the median home value of $1,177,395, which places it firmly in the upper echelon of housing markets in the region.

From an investment perspective, the rental economics in ZIP 94502 are quite favorable. The Fair Market Rent (FMR) for the fiscal year 2024 is set at $3,510, while the Census American Community Survey (ACS) indicates a market rent of $3,501. These figures suggest that the rental rates are closely aligned with the government's assessment of fair market values, making it a stable environment for landlords and investors.

Given the characteristics of ZIP 94502, it would suit both hands-off voucher operators and hands-on value-add buyers. For those seeking a passive approach, the alignment between FMR and market rent provides a predictable income stream, backed by the financial stability of the neighborhood. On the other hand, for active investors looking to enhance property value, the high median income and home value indicate potential for significant returns through renovations and improvements, as the local market can support higher rents and property values.

In conclusion, ZIP 94502 offers a balanced opportunity for investors. Its affluent demographic and stable rental market make it a desirable location for both passive and active investment strategies. Whether one opts to manage properties through Section 8 vouchers or seeks to add value through improvements, the economic indicators point to a promising investment climate.

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.