Section 8 Fair Market Rent (FMR) for ZIP 95401 - 2027

Location: Santa Rosa-Petaluma, CA | Metro: Santa Rosa-Petaluma, CA MSA

Investment Score for ZIP 95401

F
Monthly Rent (2BR)
$2,900
Median Price (2BR)
$502,808
1% Rule
0.58%
Annual Yield
6.92%

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$2,040
1 Bedroom$2,220
2 Bedrooms$2,900
3 Bedrooms$4,020
4 Bedrooms$4,420
5 Bedrooms$5,127
6 Bedrooms$5,742
7 Bedrooms$6,201
8 Bedrooms$6,511

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
1BR $2,220 $386,565 0.57% F
2BR $2,900 $502,808 0.58% F
3BR $4,020 $655,198 0.61% D
4BR $4,420 $729,019 0.61% D
5BR $5,127 $821,612 0.62% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
36,861
Median Household Income
$93,615
Housing Units
14,384
Renter Percentage
46.1%
Occupancy Rate
96.2%
Renter Occupied
6,375

Santa Rosa, located in ZIP code 95401, stands out in Sonoma County with a population of 36,861 residents. The area has a significant rental market, with 46.1% of residents renting their homes. The median income in this ZIP is $93,615, indicating a relatively affluent community. However, the median home value of $652,642 suggests that homeownership is quite expensive, which likely contributes to the high percentage of renters.

The voucher economics in ZIP 95401 are favorable for landlords. The Fair Market Rent (FMR) for the area, set at $2,190 for fiscal year 2024, is slightly below the market rent as indicated by the ZORI (Zillow Rental Index), which stands at $2,351. This means that landlords participating in the Section 8 program can still expect to receive competitive rents, making it a viable option for managing properties in this ZIP code.

The data signature for ZIP 95401 reads as stable. The population size and median income suggest a steady economic environment, while the high median home value and substantial rental market indicate a consistent demand for both owned and rented properties. Landlords and small-portfolio investors can expect a reliable tenant pool, with Section 8 vouchers providing a solid financial foundation for rental agreements. The slight difference between FMR and ZORI also points to a balanced market where landlords can benefit from the program without significant loss in rental revenue.

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.