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 | $1,780 |
| 1 Bedroom | $1,830 |
| 2 Bedrooms | $2,250 |
| 3 Bedrooms | $2,950 |
| 4 Bedrooms | $3,400 |
| 5 Bedrooms | $3,944 |
| 6 Bedrooms | $4,417 |
| 7 Bedrooms | $4,770 |
| 8 Bedrooms | $5,009 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,250 | $718,187 | 0.31% | F |
| 3BR | $2,950 | $900,210 | 0.33% | F |
| 4BR | $3,400 | $1,188,611 | 0.29% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP 95663, Penryn, CA, within Placer County, revolve around the SAFMR (Small Area Fair Market Rent) for a two-bedroom unit, which is set at $2320 for fiscal year 2024. This SAFMR figure is specifically tailored for this ZIP code, meaning it reflects the rental conditions unique to Penryn.
To understand what a landlord can expect from a Section 8 voucher, it's crucial to factor in both the tenant's portion of the rent and utility allowances. Typically, the tenant is responsible for paying approximately 30% of their adjusted income towards rent. For example, if a tenant's monthly income is $1500, they would contribute $450 toward the total rent. The remaining amount, up to the SAFMR limit, is covered by the housing authority.
In addition to the base rent, utility allowances can also be significant. These allowances vary but are designed to cover reasonable costs for electricity, water, and other utilities. If the utility allowance is $300 per month, then the total reimbursement a landlord might receive could be calculated as follows:
This means the landlord would receive $1870 ($2320 - $450) plus the utility allowance of $300, totaling $2170 per month. However, the exact amount depends on the individual tenant's income and the specifics of their utility usage.
Given that the local market rent for a two-bedroom unit is currently not available, it's important to consider the SAFMR as the upper limit for what the housing authority will pay. Landlords should compare this reimbursement amount to the prevailing market rates in Penryn to determine whether participating in the Section 8 program aligns with their financial goals.
In ZIP 95663, the typical reimbursement gap for a two-bedroom unit, based on the SAFMR, is $150. This means landlords will receive $150 less than the SAFMR, which is set at $2320, leading to a reimbursement of $2170 per month. This gap represents the difference between the SAFMR and the actual amount paid by the housing authority, considering the tenant's contribution and utility allowances.
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.