Location: Modoc County, CA | Metro: Modoc County, CA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $750 |
| 1 Bedroom | $850 |
| 2 Bedrooms | $1,080 |
| 3 Bedrooms | $1,500 |
| 4 Bedrooms | $1,780 |
| 5 Bedrooms | $2,065 |
| 6 Bedrooms | $2,313 |
| 7 Bedrooms | $2,498 |
| 8 Bedrooms | $2,623 |
U.S. Census Bureau data (2024)
To understand the economics of Section 8 housing in ZIP code 96054, it's essential to break down the financial components involved. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2026 is set at $1,110. This figure represents the maximum amount that the federal government will pay toward a tenant's rent under the Section 8 Housing Choice Voucher program.
The SAFMR is specifically tailored to reflect the rental market conditions in ZIP 96054, ensuring that the subsidy aligns closely with the local rental rates. However, due to the lack of specific local market rent data for this ZIP code, we must rely on the SAFMR as our primary benchmark.
A landlord participating in the Section 8 program receives a portion of the rent directly from the tenant and the remainder from the government. Typically, tenants are required to contribute 30% of their adjusted income toward the rent. For simplicity, let's assume a tenant has an adjusted income that would result in a contribution of exactly 30%. If the SAFMR is $1,110, the tenant's portion would be calculated based on this figure.
In addition to the base rent, there are utility allowances that can vary. These allowances are meant to cover a tenant's electricity, gas, water, and sewer costs. The exact amount depends on the specific circumstances but generally ranges from $200 to $300 per month for a two-bedroom unit. For this analysis, we'll use a midpoint allowance of $250.
Therefore, if a tenant contributes 30% of their income toward the rent, and the utility allowance is $250, the total reimbursement a landlord can expect is the sum of these amounts. Assuming a tenant's contribution of 30% results in $333 (which is 30% of $1,110), the landlord would receive $333 from the tenant and $857 from the government ($1,110 - $333 + $250 utility allowance).
This brings us to the typical reimbursement gap or surplus. Given that the SAFMR is the maximum rent subsidy, and the local market rent is currently not available, landlords should anticipate that the total reimbursement will match the SAFMR closely. In this case, if the actual market rent is higher than $1,110, there will be a reimbursement gap that the landlord must cover. Conversely, if the market rent is lower, the landlord will have a surplus.
Without specific local market rent data, it's difficult to quantify the exact gap or surplus. However, landlords should be aware that they might face a shortfall if the market rent exceeds the SAFMR of $1,110, or they may benefit from a surplus if the market rent is below this amount.
Data Sources: FMR data from HUD (2027). 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.