Location: Oakland-Fremont, CA | Metro: Oakland-Fremont, CA HUD Metro FMR Area
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 | $2,180 |
| 1 Bedroom | $2,390 |
| 2 Bedrooms | $2,930 |
| 3 Bedrooms | $3,750 |
| 4 Bedrooms | $4,440 |
| 5 Bedrooms | $5,150 |
| 6 Bedrooms | $5,768 |
| 7 Bedrooms | $6,229 |
| 8 Bedrooms | $6,540 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,390 | $354,744 | 0.67% | D |
| 2BR | $2,930 | $499,585 | 0.59% | F |
| 3BR | $3,750 | $861,742 | 0.44% | F |
| 4BR | $4,440 | $1,050,187 | 0.42% | F |
| 5BR | $5,150 | $1,440,621 | 0.36% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors targeting ZIP code 94545 in Hayward, California reveals a favorable scenario for those seeking stable cash flow. The Fair Market Rent (FMR) set by HUD for the area is $2,740 per month for FY 2024. In contrast, the market rent, as indicated by the Zillow Observed Rental Index (ZORI), stands at $2,649. This means that voucher tenants can cash flow at the FMR level, providing landlords with a consistent and reliable income stream.
To further understand the investment landscape, consider the median home value in ZIP 94545, which is $915,122. Using this figure, we can derive a rent-to-price ratio. With an average monthly rent of $2,649, the annual rent would be approximately $31,788, leading to a rent-to-price ratio of roughly 3.5%. This ratio suggests that rental income constitutes a significant portion of the property's value, making it a strong indicator for potential rental investments.
Regarding the rent-versus-buy dynamics, the data shows a median Days on Market (DOM) of N/A and a price-cut share of 0.2%. These figures imply that the housing market is relatively stable, with minimal pressure on sellers to reduce prices. However, these metrics do not significantly impact the decision-making process for Section 8 investors, who are primarily concerned with the reliability of rental income.
The strongest angle for investors in ZIP 94545 is cash flow. Given the higher FMR compared to the market rent, landlords can expect a positive cash flow from voucher tenants, ensuring a steady income without the need for premium units. This makes Hayward an attractive option for small-portfolio investors looking to diversify their holdings with properties that offer both stability and financial returns.
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.