Section 8 Fair Market Rent (FMR) for ZIP 97080 - 2027

Investment Score for ZIP 97080

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	$1,460
1 Bedroom	$1,560
2 Bedrooms	$1,790
3 Bedrooms	$2,430
4 Bedrooms	$2,920
5 Bedrooms	$3,387
6 Bedrooms	$3,793
7 Bedrooms	$4,096
8 Bedrooms	$4,301

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$1,560	$224,586	0.69%	D
2BR	$1,790	$362,771	0.49%	F
3BR	$2,430	$485,869	0.5%	F
4BR	$2,920	$569,571	0.51%	F
5BR	$3,387	$615,808	0.55%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 97080 (Gresham, OR) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 97080, as per the 2026 data, is set at $1830 for a two-bedroom unit. This figure represents 22.8% of the median household income in Gresham, which stands at $96,305. However, it is important to note that the actual rental prices in the area significantly exceed these FMRs. The Zillow median price for a two-bedroom unit is $361,991, translating to a monthly rent of approximately $1650 based on a 5% annual rental yield. This implies that the actual rental rates for a two-bedroom unit are around $1830, which is exactly the FMR. For voucher holders, this means they can find units that match their voucher amount, but the competition for such units will be high due to the limited supply of properties renting at or below FMR levels. #### Affordability & Renter Profile In Gresham, 26.8% of the population are renters, indicating a moderate demand for rental housing. The occupancy rate of 95.8% suggests that the rental market is relatively tight, with few vacant units available. Given that the median household income is $96,305, the majority of residents can afford the higher-than-FMR rental rates. However, the 22.8% of median income required for a two-bedroom unit under FMR indicates that a significant portion of the population might struggle to afford housing without assistance. The affordability gap is particularly pronounced for lower-income households, who would likely rely heavily on Section 8 vouchers to secure housing. #### Investor Angle From an investor’s perspective, the ZIP code 97080 offers a mixed picture. The FMR for a two-bedroom unit is $1830, which is the same as the Zillow median rent estimate. This suggests that investors could potentially achieve cash flow positivity by renting at FMR levels, especially if they manage to acquire properties at or below the Zillow median price. However, the high occupancy rate and tight market conditions imply that finding properties at these prices might be challenging. To assess the investment grade, we need to consider the potential returns and risks. With a median home price of $361,991, the monthly rental income at FMR would be $1830. Assuming typical expenses like property taxes, insurance, maintenance, and mortgage payments, the net operating income (NOI) would need to be calculated. If we assume a conservative NOI of $1000 per month, the cap rate (a measure of investment profitability) would be around 3.3%, which is relatively low compared to other markets. This indicates that while there might be cash flow, the overall investment return is modest. #### Specific Actionable Insights 1. **Target Properties Below Zillow Median Price**: Investors should focus on acquiring properties priced below the Zillow median of $361,991 to ensure a better margin for cash flow. A property priced at $300,000, for example, would generate a NOI closer to $1200 per month, improving the cap rate to about 4.8%. 2. **Focus on Units Slightly Above FMR**: Given the tight market, investors might want to consider units that are slightly above the FMR but still within reach of lower-income households. A three-bedroom unit renting at $2490, for instance, is still affordable for many families and could attract tenants willing to pay a bit more than the voucher amount. #### Bottom Line For Section 8-focused investors, the recommendation is to **Hold**. While the market is tight and offers some opportunities for cash flow, the overall investment return is modest. The high occupancy rate and limited supply of properties renting at or below FMR levels suggest that finding suitable investments might be difficult. Additionally, the relatively low cap rate indicates that the returns are not particularly attractive compared to other markets. Therefore, unless investors have a strong local presence and can leverage existing networks to source properties at favorable prices, holding off on new investments in this ZIP code might be the best strategy.

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.