Section 8 Fair Market Rent (FMR) for ZIP 96035 - 2027

Location: Tehama County, CA | Metro: Tehama County, CA

Investment Score for ZIP 96035

D
Monthly Rent (2BR)
$1,490
Median Price (2BR)
$222,759
1% Rule
0.67%
Annual Yield
8.03%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,040
1 Bedroom$1,140
2 Bedrooms$1,490
3 Bedrooms$2,060
4 Bedrooms$2,490
5 Bedrooms$2,888
6 Bedrooms$3,235
7 Bedrooms$3,494
8 Bedrooms$3,669

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,490 $222,759 0.67% D
3BR $2,060 $327,536 0.63% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
3,326
Median Household Income
$49,760
Housing Units
1,572
Renter Percentage
35.0%
Occupancy Rate
90.4%
Renter Occupied
498

The market in ZIP 96035, Gerber, CA, presents a dynamic environment where rental prices closely align with Fair Market Rent (FMR) standards set for the fiscal year 2026 at $1,360. Currently, the market rent stands slightly below this benchmark at $1,348, according to the Census American Community Survey (ACS). This suggests that the rental market is robust and competitive, with rents trending upwards to meet FMR levels.

The median home value in Gerber, CA, is notably higher at $263,998. This figure indicates a relatively stable homeownership market, but when juxtaposed against the rental prices, it highlights the attractiveness of renting over buying for many residents. The significant portion of renters, comprising 35.0% of the population, underscores a long-term trend of housing pressure that favors a strong rental market. This high renter share implies ongoing demand for rental properties, as a substantial number of residents prefer or are compelled to rent rather than purchase homes.

Despite the lack of specific data on price-cut share and days on market (DOM), the close alignment between FMR and market rent, along with the high median home value, points towards a scenario where demand may be outpacing supply in the rental sector. Landlords and small-portfolio investors should consider these factors when evaluating investment opportunities in Gerber, CA. The market's trajectory suggests that maintaining rental properties in good condition and offering competitive pricing will be key to attracting tenants in this area.

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.