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 | $1,760 |
| 1 Bedroom | $1,820 |
| 2 Bedrooms | $2,230 |
| 3 Bedrooms | $2,920 |
| 4 Bedrooms | $3,370 |
| 5 Bedrooms | $3,909 |
| 6 Bedrooms | $4,378 |
| 7 Bedrooms | $4,728 |
| 8 Bedrooms | $4,964 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,230 | $401,070 | 0.56% | F |
| 3BR | $2,920 | $616,458 | 0.47% | F |
| 4BR | $3,370 | $768,414 | 0.44% | F |
| 5BR | $3,909 | $926,227 | 0.42% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 95682, Shingle Springs, CA, reveals a competitive rental environment. The HUD Fair Market Rent (FMR) for the area in fiscal year 2024 is set at $2170 per month. In comparison, the Zillow Observed Rent Index (ZORI) for the same period stands at $2,389, indicating that market rents are slightly above the HUD FMR.
Voucher tenants in this area will typically cashflow at the HUD FMR rate, but only marginally given the current market conditions. Landlords who aim to ensure positive cashflow should consider offering premium units that can command rents closer to the ZORI figure. This approach allows for better alignment with market expectations while still leveraging the stability of Section 8 vouchers.
The median home value in ZIP 95682 is $665,541, which provides a basis for calculating the rent-to-price ratio. With a monthly rent of $2170, the annualized rent is approximately $26,040. Dividing this by the median home value yields a rent-to-price ratio of roughly 3.9%. This ratio suggests that rental income alone would not fully cover the cost of owning a home in this area, making it less attractive purely from a buy-versus-rent perspective.
The rental market in Shingle Springs shows strong demand, evidenced by a 15-day median Days on Market (DOM), indicating that properties are rented quickly. Additionally, the low price-cut share of 0.3% implies that landlords rarely need to reduce their asking rents, further supporting the idea of a robust rental market.
The strongest investor angle in ZIP 95682 is likely to be stability. Given the consistent demand and the relatively quick rental times, investors can expect steady and predictable cashflows when managing properties under the Section 8 program. While appreciation might be limited due to the high median home values and modest rent-to-price ratios, the overall stability of the market makes it an attractive option for those seeking reliable returns.
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.