Location: Stockton-Lodi, CA | Metro: Stockton-Lodi, 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 | $2,130 |
| 1 Bedroom | $2,270 |
| 2 Bedrooms | $2,810 |
| 3 Bedrooms | $3,890 |
| 4 Bedrooms | $4,700 |
| 5 Bedrooms | $5,452 |
| 6 Bedrooms | $6,106 |
| 7 Bedrooms | $6,594 |
| 8 Bedrooms | $6,924 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,810 | $523,219 | 0.54% | F |
| 3BR | $3,890 | $507,067 | 0.77% | D |
| 4BR | $4,700 | $544,461 | 0.86% | C |
| 5BR | $5,452 | $589,658 | 0.92% | C |
U.S. Census Bureau data (2024)
ZIP code 95212 is located in Stockton, California, and represents a neighborhood with a significant residential population of 28,437. The area is characterized by a moderate rental presence, with 22.2% of residents being renters. This indicates a predominantly owner-occupied community. The economic profile of the neighborhood is robust, with a median household income of $111,720, which is notably higher than the national average. The median home value stands at $550,065, reflecting a stable and somewhat affluent residential market.
Moving into the specifics of rental economics, the Fair Market Rent (FMR) for ZIP 95212 in fiscal year 2024 is set at $2,240. In comparison, the market rent, as indicated by Zillow's Observed Rental Index (ZORI), is $2,875. This gap between FMR and market rent suggests that landlords participating in the Section 8 program can expect to receive rental payments that are below the current market rates, but still provide a reasonable return on investment given the area's economic indicators.
The decision on whether ZIP 95212 suits a hands-off voucher operator or requires a hands-on value-add buyer depends on several factors. For a hands-off operator, the stability of the neighborhood and the relatively high median income could offer a secure environment for long-term investment, with minimal tenant turnover due to the financial means of the residents. However, for a value-add buyer looking to maximize returns through property improvements and management strategies, the disparity between FMR and market rent presents an opportunity to enhance property values and attract non-voucher tenants willing to pay closer to the market rate.
In summary, ZIP 95212 offers a balanced mix of stability and potential for growth, making it suitable for both passive and active investors depending on their strategy and goals. The economic strength of the area supports a favorable outlook for rental investments, particularly when considering the demographic and financial health of its residents.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.