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 | $369,910 | 0.61% | D |
| 3BR | $2,950 | $453,164 | 0.65% | D |
| 4BR | $3,400 | $496,411 | 0.68% | D |
| 5BR | $3,944 | $575,492 | 0.69% | D |
U.S. Census Bureau data (2024)
The potential pitfalls for landlords investing in ZIP 95827 under the Section 8 program are significant. Tenant turnover poses a substantial risk due to the disparity between the market rent of $1,735 and the Fair Market Rent (FMR) of $2,080 for FY 2024. This difference can lead to tenants seeking higher subsidies, increasing the likelihood of moving when they find a property that fully covers their rental costs through the voucher program. Vacancy exposure is another critical concern, as the Days on Market (DOM) data is currently unavailable, indicating a lack of transparency regarding how quickly properties are rented out. This uncertainty can result in prolonged periods without rental income, which is particularly risky given the typical home value of $475,686 and the median income of $85,841. The latter figure suggests that many residents may struggle to afford housing without assistance, thereby increasing the reliance on Section 8 vouchers.
However, these risks are mitigated by the high renter density in the area, with 36.7% of households being renters. High renter concentration generally translates into robust demand for rental properties, including those that accept Section 8 vouchers. This demand can help stabilize occupancy rates and ensure a steady stream of income for landlords who participate in the program.
A first-time Section 8 landlord in ZIP 95827 faces moderate risk.
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.