Location: Yolo, CA | Metro: Yolo, CA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,660 |
| 1 Bedroom | $1,670 |
| 2 Bedrooms | $2,140 |
| 3 Bedrooms | $2,960 |
| 4 Bedrooms | $3,100 |
| 5 Bedrooms | $3,596 |
| 6 Bedrooms | $4,028 |
| 7 Bedrooms | $4,350 |
| 8 Bedrooms | $4,568 |
U.S. Census Bureau data (2024)
The Section 8 market in ZIP code 95606, located in Yolo County, California, presents a unique opportunity for real estate investors. The HUD Fair Market Rent (FMR) for this area is set at $1980 for the fiscal year 2024. However, the current market rent is not available, which suggests that the HUD FMR may be slightly higher than what the market can bear. This means that voucher tenants will likely cashflow at the FMR level but may struggle to do so in a competitive rental market without premium units.
The median home value in the area is also not available, making it difficult to calculate an exact rent-to-price ratio. Nonetheless, the lack of specific data on home values indicates that the local real estate market might be less focused on homeownership compared to other areas. This could mean that rental properties are more in demand, potentially leading to a higher occupancy rate for landlords.
With the day median DOM and the percentage of price cuts being unavailable, we cannot provide precise data on how long properties typically stay on the market or how often sellers have to lower their asking prices. This information would help us understand the rent-versus-buy dynamics better. However, given the absence of these metrics, it's reasonable to assume that the rental market remains stable due to the lack of significant fluctuations in the data.
The strongest investor angle in ZIP 95606 is likely to be cashflow. With voucher tenants paying close to the HUD FMR, landlords can expect steady income streams without the need for frequent rent increases. This predictability makes the area attractive for small-portfolio investors looking for consistent returns on their investment.
Data Sources: FMR data from HUD (2027). 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.