Location: Sacramento--Roseville--Arden-Arcade, CA | Metro: Sacramento--Roseville--Arden-Arcade, CA HUD Metro FMR Area
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 | $2,310 |
| 1 Bedroom | $2,380 |
| 2 Bedrooms | $2,920 |
| 3 Bedrooms | $3,830 |
| 4 Bedrooms | $4,420 |
| 5 Bedrooms | $5,127 |
| 6 Bedrooms | $5,742 |
| 7 Bedrooms | $6,201 |
| 8 Bedrooms | $6,511 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,380 | $337,777 | 0.7% | D |
| 2BR | $2,920 | $495,151 | 0.59% | F |
| 3BR | $3,830 | $652,415 | 0.59% | F |
| 4BR | $4,420 | $814,417 | 0.54% | F |
| 5BR | $5,127 | $1,026,746 | 0.5% | F |
U.S. Census Bureau data (2024)
Folsom 95630 presents a compelling blend of suburban stability and economic vitality, characterized by its highly rated school districts and historic district atmosphere. The area is anchored by major employers such as Intel Corporation, whose Folsom campus significantly contributes to the local tech sector employment base. Neighborhoods here generally feature low crime rates and extensive recreational amenities, including the American River Parkway, making it a desirable location for families seeking a high quality of life in the Sacramento region.
From a financial perspective, the HUD Fair Market Rent (FMR) for a 2-bedroom unit in FY2026 is set at $3,010, while current market rents (Zillow ZORI) sit at $2,529. This creates a positive gap of $481 per month where voucher payments exceed typical market rates, offering a potential premium for Section 8 compliance. The median home value is $763,756, and properties move quickly with a median of 21 days on market. For investors, the median 2BR sale price is $498,948, providing a concrete entry point for acquisition analysis.
With a renter share of 30.1% and a median household income of $139,642, the tenant pool is generally affluent compared to national averages, suggesting that even voucher-holding applicants may have supplementary income stability. Demand is bolstered by access to top-tier schools within the Folsom-Cordova Unified School District and convenient transit options via Highway 50. These amenities help ensure consistent occupancy, as the area attracts long-term residents looking for stability and strong educational opportunities for their children.
The strongest investor angle here is stability combined with cashflow potential. The explicit $481 spread between the 2BR FMR ($3,010) and market rent ($2,529) allows landlords to maximize revenue while serving a population that values the neighborhood’s safety and schools. The rapid 21-day turnover rate indicates high demand, ensuring that units remain filled. For small-portfolio investors, Folsom offers a rare opportunity to secure government-backed rates that outpace the private market in a high-appreciation locale.
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.