Location: Siskiyou County, CA | Metro: Redding, CA MSA
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 | $1,060 |
| 1 Bedroom | $1,100 |
| 2 Bedrooms | $1,440 |
| 3 Bedrooms | $1,990 |
| 4 Bedrooms | $2,410 |
| 5 Bedrooms | $2,796 |
| 6 Bedrooms | $3,132 |
| 7 Bedrooms | $3,383 |
| 8 Bedrooms | $3,552 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,440 | $225,845 | 0.64% | D |
| 3BR | $1,990 | $269,635 | 0.74% | D |
U.S. Census Bureau data (2024)
In ZIP 96025, which covers Dunsmuir, California, in Siskiyou County, the economics of Section 8 housing vouchers can be quite straightforward when understood correctly. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2024 is set at $1210. This figure represents the maximum amount that the Housing Choice Voucher program will pay towards the rent for such a unit.
The local market rent, according to Census ACS data, stands at $1056 for a two-bedroom apartment. This means that the SAFMR is higher than the average market rent, which could initially seem favorable for landlords. However, it's important to note that the actual reimbursement to landlords depends on the tenant's portion of the rent and any utility allowances.
The tenant's portion of the rent is typically calculated as 30% of their household income. For example, if a tenant's monthly income is $2000, they would be responsible for paying $600 towards the rent. The remaining amount, up to the SAFMR limit of $1210, would be covered by the voucher. If the total rent exceeds the SAFMR, the landlord must absorb the difference.
Utility allowances vary based on the type of utilities required in the unit and the region. In ZIP 96025, these allowances are included in the reimbursement calculation but do not exceed the SAFMR. If a landlord charges $1210 for a two-bedroom unit, and the tenant's portion is $600, the voucher would cover the remaining $610. If the landlord charges less than the SAFMR, say $1100, the voucher would cover $500, assuming the same tenant contribution.
The SAFMR being set for this specific ZIP code means that it reflects the unique rental market conditions of Dunsmuir. It does not apply uniformly across the entire county or metropolitan area, which can have different economic profiles and rental rates.
In summary, the typical reimbursement gap or surplus in ZIP 96025 for a two-bedroom unit would be a surplus. Given the local market rent is $1056 and the SAFMR is $1210, landlords can expect to receive the full market rent plus some additional cushion from the voucher program, even if they charge slightly above the market rate. This provides a reliable source of income that often exceeds the local market average, making participation in the Section 8 program financially beneficial for landlords in this area.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.