Section 8 Fair Market Rent (FMR) for ZIP 96124 - 2027
Location: Sierra County, CA | Metro: Sierra County, CA
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $1,070 |
| 1 Bedroom | $1,170 |
| 2 Bedrooms | $1,530 |
| 3 Bedrooms | $2,120 |
| 4 Bedrooms | $2,530 |
| 5 Bedrooms | $2,935 |
| 6 Bedrooms | $3,287 |
| 7 Bedrooms | $3,550 |
| 8 Bedrooms | $3,728 |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$205,893
When considering whether to invest in ZIP 96124 (Calpine, CA) for Section 8 properties, follow these steps:
- Step 1: Debt Service Coverage Ratio (DSCR): Does the Fair Market Rent (FMR) of $1,530 cover the debt service on a property valued at $376,083?
- If you can secure a loan with a DSCR of at least 1.2, then the answer is Yes. This means that the rental income is sufficient to cover the mortgage payments and other operating expenses.
- If your loan requires a higher DSCR, the answer is No. The FMR does not provide enough rental income to meet the financial obligations associated with the property value.
- Step 2: Market Rent Comparison: Is the market rent above, at, or below the FMR of $1,530?
- The data indicates that the market rent is N/A. This suggests there is insufficient information to make an accurate comparison. Therefore, the answer is It Depends. Further research into local rental markets would be necessary to understand how market rents compare to the FMR.
- Step 3: Rental Demand: Are 0.0% of renters and N/A-day days on market (DOM) indicative of sufficient demand?
- The rental demand in ZIP 96124 is No. With 0.0% of renters and no available days on market data, there is not enough tenant interest to justify purchasing a property for Section 8 purposes. A strong rental market typically shows a higher percentage of renters and a reasonable DOM indicating active interest from potential tenants.
In conclusion, based on the provided data, the decision to purchase a property in ZIP 96124 for Section 8 investment hinges on the ability to secure a loan with a DSCR of at least 1.2. However, the lack of market rent data and low rental demand suggest that investing in this ZIP code may not be advisable without further investigation into the local rental market dynamics.
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.