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 | $1,830 |
| 1 Bedroom | $1,880 |
| 2 Bedrooms | $2,310 |
| 3 Bedrooms | $3,030 |
| 4 Bedrooms | $3,490 |
| 5 Bedrooms | $4,048 |
| 6 Bedrooms | $4,534 |
| 7 Bedrooms | $4,897 |
| 8 Bedrooms | $5,142 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,310 | $408,609 | 0.57% | F |
| 3BR | $3,030 | $436,479 | 0.69% | D |
| 4BR | $3,490 | $524,928 | 0.66% | D |
| 5BR | $4,048 | $734,631 | 0.55% | F |
U.S. Census Bureau data (2024)
The real estate landscape in ZIP 95673, Rio Linda, CA, presents a nuanced picture for both landlords and small-portfolio investors. With a median home value of $453,193, the area reflects a stable housing market. The fact that the percentage of listings reduced and the median days on market (DOM) are not available suggests a steady demand for properties without significant fluctuations. This stability implies that landlords can maintain their pricing power over the next 12-24 months.
On the rental side, the Fair Market Rent (FMR) for ZIP 95673 is set at $2,030 for fiscal year 2024, which contrasts with the current market rate of approximately $1,880 according to the Census ACS. This gap indicates an opportunity for landlords to gradually increase rents, aligning more closely with the FMR, especially if they offer well-maintained properties with modern amenities. The rental market appears to be slightly undervalued relative to government benchmarks, suggesting potential for growth in rental income without alienating tenants.
For long-term investors, the setup in Rio Linda points towards a conservative appreciation thesis. The median home value, while not showing explosive growth, is indicative of a solid foundation. The absence of significant reductions in listing prices and the stable DOM suggest a balanced market where neither buyers nor sellers have overwhelming leverage. Over time, as the local economy continues to grow and attract new residents, there could be a gradual increase in property values. However, the pace will likely be measured, reflecting the broader trends seen in the Sacramento metropolitan area rather than isolated, rapid spikes.
Investors should also consider the broader economic context. Rio Linda's proximity to Sacramento means it benefits from the region's economic strength, including job growth and infrastructure development. These factors contribute to a steady influx of new residents, supporting both home values and rental demand. Landlords and investors can expect a reliable return on investment, with opportunities to adjust rents and property values in line with broader market conditions and economic indicators.
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.