Section 8 Fair Market Rent (FMR) for ZIP 95453 - 2027

Location: Lake County, CA | Metro: Lake County, CA

Investment Score for ZIP 95453

Monthly Rent (2BR)

$1,460

Median Price (2BR)

$283,886

1% Rule

0.51%

Annual Yield

6.17%

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	$1,110
1 Bedroom	$1,120
2 Bedrooms	$1,460
3 Bedrooms	$2,020
4 Bedrooms	$2,440
5 Bedrooms	$2,830
6 Bedrooms	$3,170
7 Bedrooms	$3,424
8 Bedrooms	$3,595

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	$1,120	$215,654	0.52%	F
2BR	$1,460	$283,886	0.51%	F
3BR	$2,020	$383,123	0.53%	F
4BR	$2,440	$490,043	0.5%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

11,741

Median Household Income

$71,419

Housing Units

5,443

Renter Percentage

21.8%

Occupancy Rate

84.3%

Renter Occupied

999

Lakeport, CA, located in ZIP code 95453, is a small city situated on the eastern shore of Clear Lake, known for its natural beauty and recreational opportunities. The real estate market here reflects a blend of affordability and demand, particularly for rental properties. This analysis provides key insights into the housing and rental market conditions, crucial for landlords and small-portfolio investors.

The Fair Market Rent (FMR) for a two-bedroom apartment in the metro area for fiscal year 2026 is set at $1,270. This figure represents the government's benchmark for affordable rental rates.
The market rent, as indicated by the Zillow Observed Rent Index (ZORI), stands at $1,800 for a similar-sized property. This suggests that the actual rental prices in Lakeport exceed the government's FMR, indicating a strong local rental market.
The median home value in Lakeport is $353,677, which is relatively modest compared to larger metropolitan areas but still presents a solid investment opportunity for those looking to buy and hold properties.
Renters make up 21.8% of the population, showing a significant portion of residents prefer leasing over owning, which can be beneficial for landlords seeking steady tenant populations.
The median household income in Lakeport is $71,419, providing insight into the financial capacity of potential renters and homeowners.

Synthesizing these points, Lakeport offers a viable investment landscape for real estate, especially in rentals. The discrepancy between the ZORI and FMR highlights a robust rental market where properties can command above-average rents. With a median home value of $353,677, the cost of entry is reasonable, making it accessible for small-portfolio investors. The significant renter share of 21.8% ensures a stable demand for rental units. However, the lack of data on days on market (DOM) could indicate either a healthy sales turnover or less activity in the real estate market, which should be further investigated before making any investment decisions. Overall, Lakeport presents a balanced opportunity for generating rental income with moderate investment risk.

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.