Location: Lassen County, CA | Metro: Lassen 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 | $1,030 |
| 2 Bedrooms | $1,230 |
| 3 Bedrooms | $1,700 |
| 4 Bedrooms | $2,060 |
| 5 Bedrooms | $2,390 |
| 6 Bedrooms | $2,677 |
| 7 Bedrooms | $2,891 |
| 8 Bedrooms | $3,036 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,030 | $116,578 | 0.88% | C |
| 2BR | $1,230 | $167,941 | 0.73% | D |
| 3BR | $1,700 | $265,322 | 0.64% | D |
| 4BR | $2,060 | $340,452 | 0.61% | D |
| 5BR | $2,390 | $375,138 | 0.64% | D |
U.S. Census Bureau data (2024)
Susanville, CA (ZIP 96130), presents an interesting balance between yield potential and market stability for real estate investors. The key figures to consider are the Fair Market Rent (FMR) of $1,250 for the metro area in fiscal year 2026, the local market rent of $960, and the median home value of $235,226. Additionally, the rental rate penetration at 36.1%, and the average household income of $72,465 provide insight into the stability of the market.
The FMR exceeding the local market rent suggests that there is room for price adjustment upwards, potentially increasing rental yields. However, the disparity between the FMR and the actual market rent indicates a less robust demand for higher-priced rentals, which could translate into lower occupancy rates if rents are set too high. This makes Susanville a moderate yield market, as investors can aim for a slightly above-market rent without drastically overpricing units.
On the stability axis, the rental rate penetration of 36.1% is relatively low. This implies that a significant portion of the population might not be able to afford market-rate rentals, which could affect the long-term sustainability of rental incomes. The absence of data on days on market (DOM) makes it challenging to assess the speed at which properties can be rented out, but the average household income of $72,465 provides some assurance regarding the ability of residents to pay rent.
Given these factors, Susanville is best classified as a moderate cash flow market with some yield potential. Investors should be cautious about setting rents too high, as the local market may not support such pricing. Instead, targeting slightly above-market rents while ensuring affordability will likely result in steady cash flow with manageable risks. The median home value also suggests that the area has a reasonable property base, which supports a balanced investment approach.
To summarize, Susanville offers a middle-ground opportunity where investors can expect decent returns without the volatility associated with high-yield markets. The focus should be on maintaining stable occupancy and cash flow rather than pursuing aggressive rental strategies.
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.