Location: Tuolumne County, CA | Metro: Modesto, 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 | $1,130 |
| 1 Bedroom | $1,270 |
| 2 Bedrooms | $1,620 |
| 3 Bedrooms | $2,200 |
| 4 Bedrooms | $2,690 |
| 5 Bedrooms | $3,120 |
| 6 Bedrooms | $3,494 |
| 7 Bedrooms | $3,774 |
| 8 Bedrooms | $3,963 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,620 | $332,496 | 0.49% | F |
| 3BR | $2,200 | $409,923 | 0.54% | F |
| 4BR | $2,690 | $480,752 | 0.56% | F |
U.S. Census Bureau data (2024)
ZIP 95329, located in La Grange, CA, within the Tuolumne County, CA metro area, serves as an ideal cash-flow anchor for a Section 8 portfolio strategy. The Family Monthly Rent (FMR) for ZIP 95329 in fiscal year 2024 is set at $1,610, which exceeds the market rent of $1,405. This $205 spread ensures a positive cash flow on rental properties, making them attractive investments for landlords and small-portfolio investors.
The median home value in ZIP 95329 is $396,146. Despite this relatively high median home value, the FMR still provides a significant cushion over market rents. This means that even if property taxes and maintenance costs rise, the guaranteed rental income from Section 8 tenants can cover these expenses and still leave room for profit.
The lack of data on price-cut share and days on market (DOM) suggests that this ZIP code is not particularly volatile or subject to frequent price adjustments, which is another positive indicator for cash-flow stability. In contrast, the renter share of 11.5% and median income of $79,500 do not strongly support this ZIP code as an appreciation play or diversifier. While a median income of $79,500 indicates a stable economic base, the low renter share implies limited demand for rental properties beyond those covered by Section 8, reducing the potential for speculative gains through property appreciation.
In conclusion, ZIP 95329 is best suited as a cash-flow anchor within a Section 8 portfolio strategy. Its favorable spread between the FMR and market rent ensures steady, reliable income, which is crucial for maintaining financial health and stability in a real estate investment portfolio.
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.