Location: Oakland-Fremont, CA | Metro: Oakland-Fremont, CA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,090 |
| 1 Bedroom | $2,290 |
| 2 Bedrooms | $2,810 |
| 3 Bedrooms | $3,600 |
| 4 Bedrooms | $4,260 |
| 5 Bedrooms | $4,942 |
| 6 Bedrooms | $5,535 |
| 7 Bedrooms | $5,978 |
| 8 Bedrooms | $6,277 |
The Section 8 program in ZIP 94615 operates under the Single Area Fair Market Rent (SAFMR) system, where the maximum rental subsidy for a two-bedroom apartment is set at $2590 for fiscal year 2024. This SAFMR figure is specific to this ZIP code, reflecting the localized cost of housing.
When a landlord participates in the Section 8 program, they agree to lease their property to a tenant who receives a housing voucher. The voucher pays a portion of the rent directly to the landlord on behalf of the tenant. However, the actual amount paid can vary based on the tenant's income and the utility allowances.
Tenants contribute a percentage of their income towards the rent, typically around 30%. If we assume an average tenant income of $1500 per month, the tenant would pay approximately $450 toward the rent. This leaves the remaining $2140 to be covered by the housing voucher. It's important to note that this calculation assumes the tenant's income is below the threshold required for eligibility in the Section 8 program.
In addition to the base rent, there are utility allowances which can range from $200 to $400 per month depending on the type of utilities used. For simplicity, let's use an average utility allowance of $300. This brings the total monthly payment to $2440 ($2140 for rent + $300 for utilities).
This means that in ZIP 94615, a landlord can expect to receive approximately $2440 per month for a two-bedroom apartment, assuming the tenant's income and utility usage fall within the averages. Given the SAFMR of $2590, this leaves a reimbursement gap of $150 per month. In other words, landlords will receive slightly less than the maximum allowable rent under the Section 8 program for this ZIP code.
To summarize, landlords in ZIP 94615 should anticipate a voucher reimbursement of about $2440 for a two-bedroom apartment, resulting in a gap of $150 compared to the SAFMR of $2590. This gap must be accounted for when considering participation in the Section 8 program.
Data Sources: FMR data from HUD (2027).
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.