Location: Santa Rosa-Petaluma, CA | Metro: Santa Rosa-Petaluma, 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 | $1,760 |
| 1 Bedroom | $1,940 |
| 2 Bedrooms | $2,550 |
| 3 Bedrooms | $3,500 |
| 4 Bedrooms | $3,740 |
| 5 Bedrooms | $4,338 |
| 6 Bedrooms | $4,859 |
| 7 Bedrooms | $5,248 |
| 8 Bedrooms | $5,510 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,940 | $461,127 | 0.42% | F |
| 2BR | $2,550 | $555,882 | 0.46% | F |
| 3BR | $3,500 | $738,124 | 0.47% | F |
U.S. Census Bureau data (2024)
The ZIP code 95421, encompassing Cazadero, CA, stands out within Sonoma County due to its unique demographic and economic characteristics. With only 1,570 residents, it is a small community where 20.7% of the population rents their homes. The median income here is relatively high at $78,906, indicating that most residents have a comfortable financial standing. However, the median home value is exceptionally high at $565,300, which places it well above the national average and reflects the premium real estate market in this area.
In terms of Section 8 housing, the Fair Market Rent (FMR) for ZIP 95421 in fiscal year 2024 is set at $2,030 per month. This figure is notably higher than the current market rent of $1,813, based on Census ACS data. Landlords who accept Section 8 vouchers in this ZIP code can expect to receive a higher rental rate than the typical market rate, which could be beneficial considering the high median home values and potentially lower supply of rental properties. The discrepancy between the FMR and market rent suggests that there is a strong demand for affordable housing options, making Section 8 vouchers particularly attractive for tenants seeking to live in this desirable area.
Based on the available data, the ZIP code 95421 appears to be stable. The high median income and median home value indicate a robust local economy with little indication of rapid change. While the percentage of renters is modest, the disparity between the FMR and the actual market rent points to a steady demand for subsidized housing, suggesting that the local rental market is unlikely to experience significant volatility. For landlords and small-portfolio investors, this stability means that accepting Section 8 vouchers could provide a reliable source of income with minimal risk of default or sudden changes in tenant demand.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.