Section 8 Fair Market Rent (FMR) for ZIP 95333 - 2027

Location: Merced, CA | Metro: Merced, CA MSA

Investment Score for ZIP 95333

F
Monthly Rent (2BR)
$1,360
Median Price (2BR)
$298,813
1% Rule
0.46%
Annual Yield
5.46%

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$1,010
1 Bedroom$1,100
2 Bedrooms$1,360
3 Bedrooms$1,870
4 Bedrooms$2,260
5 Bedrooms$2,622
6 Bedrooms$2,937
7 Bedrooms$3,172
8 Bedrooms$3,331

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,360 $298,813 0.46% F
3BR $1,870 $324,771 0.58% F
4BR $2,260 $462,044 0.49% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
2,963
Median Household Income
$62,813
Housing Units
910
Renter Percentage
35.7%
Occupancy Rate
87.5%
Renter Occupied
284

The ZIP code 95333, located in Le Grand, California, stands out within Merced County due to its unique demographic and economic characteristics. With a population of 2,963 residents, it has a rental rate of 35.7%, which is slightly above the national average. The median income in this area is $62,813, and the median home value is notably high at $349,753.

From a Section 8 perspective, the Financial Market Rent (FMR) for ZIP 95333 is set at $1230 for fiscal year 2024. This figure is significantly higher than the market rent, which is recorded at $932 according to the Census American Community Survey (ACS). This discrepancy means that landlords can potentially receive higher rents through Section 8 vouchers compared to the local market rates. For instance, if a landlord charges the FMR of $1230, they would earn approximately $300 more per month than the average market rent.

The data signature for ZIP 95333 reads as stable. Despite the relatively high median home value, the rental rate suggests a steady demand for housing assistance. Additionally, the gap between the FMR and market rent indicates a favorable environment for landlords participating in the Section 8 program, as they are likely to see a positive financial impact from the difference in these figures.

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.