Section 8 Fair Market Rent (FMR) for ZIP 95623 - 2027

Location: Sacramento--Roseville--Arden-Arcade, CA | Metro: Sacramento--Roseville--Arden-Arcade, CA HUD Metro FMR Area

Investment Score for ZIP 95623

F
Monthly Rent (2BR)
$1,980
Median Price (2BR)
$431,415
1% Rule
0.46%
Annual Yield
5.51%

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$1,530
1 Bedroom$1,610
2 Bedrooms$1,980
3 Bedrooms$2,630
4 Bedrooms$3,030
5 Bedrooms$3,515
6 Bedrooms$3,937
7 Bedrooms$4,252
8 Bedrooms$4,465

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 $1,980 $431,415 0.46% F
3BR $2,630 $557,079 0.47% F
4BR $3,030 $729,517 0.42% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
4,844
Median Household Income
$109,102
Housing Units
1,705
Renter Percentage
19.5%
Occupancy Rate
97.0%
Renter Occupied
322

The market in ZIP 95623, El Dorado, CA, reveals a dynamic housing landscape where demand appears to be edging towards surpassing supply. This inference is drawn from the disparity between the Fair Market Rent (FMR) set at $2160 for the fiscal year 2024 and the actual market rent reported at $1,523 according to the Census ACS. The higher FMR suggests that there is a perceived need for affordable rental units, indicating potential upward pressure on rents as the market adjusts.

With a median home value of $561,252, homeownership in El Dorado is relatively stable, but the 19.5% renter share provides insight into the long-term housing dynamics. A significant proportion of renters implies ongoing housing affordability challenges, which can translate into persistent demand for rental properties. This is particularly relevant in a smaller town setting where the population might be less transient, leading to a steady demand for rental housing over time.

The lack of specific data regarding price-cut shares and days on market (DOM) makes it challenging to pinpoint the exact supply-demand balance. However, the overall picture suggests a market that is moving towards equilibrium, with rents likely to rise as demand increases. Landlords and small-portfolio investors should focus on maintaining competitive rental rates while keeping an eye on the broader economic trends that could impact the local housing market.

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.