Location: Siskiyou County, CA | Metro: Siskiyou County, CA
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 | $870 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,130 |
| 3 Bedrooms | $1,570 |
| 4 Bedrooms | $1,730 |
| 5 Bedrooms | $2,007 |
| 6 Bedrooms | $2,248 |
| 7 Bedrooms | $2,428 |
| 8 Bedrooms | $2,549 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,570 | $244,918 | 0.64% | D |
U.S. Census Bureau data (2024)
ZIP code 96038, located within the Siskiyou County, CA metro area, presents a unique profile when compared against typical ZIP codes in the same county. The Fair Market Rent (FMR) for 96038 stands at $1,090 for the fiscal year 2026, which is higher than the average market rent of $936. This suggests that while it may not be the most expensive area in terms of actual rental costs, it is considered more valuable based on HUD's assessment criteria.
The median home value in 96038 is $241,270, which is lower than what might be expected given the higher FMR. This discrepancy can indicate a potential value pocket for real estate investors, particularly those interested in Section 8 properties. Lower home values combined with a relatively higher FMR can mean that the property is undervalued in the market but still qualifies for higher rental assistance payments under the Section 8 program.
A key factor is the 27.4% share of renters in 96038, which is notably higher than the typical Siskiyou County ZIP code. High renter shares often correlate with areas where Section 8 vouchers are commonly used, making such locations attractive for landlords who want to ensure a steady stream of tenants eligible for government-subsidized rents.
To summarize, ZIP 96038 appears to be a value pocket within the Siskiyou County, CA metro. Its below-average home values coupled with a higher-than-average FMR and significant renter share suggest an opportunity for landlords and small-portfolio investors seeking stable returns through Section 8 tenancy. The area's characteristics align well with the goals of those looking to capitalize on the balance between affordability and government-supported rental rates.
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.