Location: Portland-Vancouver-Hillsboro, OR | Metro: Portland-Vancouver-Hillsboro, OR-WA MSA
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 | $1,540 |
| 1 Bedroom | $1,650 |
| 2 Bedrooms | $1,900 |
| 3 Bedrooms | $2,580 |
| 4 Bedrooms | $3,100 |
| 5 Bedrooms | $3,596 |
| 6 Bedrooms | $4,028 |
| 7 Bedrooms | $4,350 |
| 8 Bedrooms | $4,568 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,900 | $402,192 | 0.47% | F |
| 3BR | $2,580 | $523,963 | 0.49% | F |
| 4BR | $3,100 | $604,153 | 0.51% | F |
U.S. Census Bureau data (2024)
The potential pitfalls for landlords investing in ZIP code 97111 in Carlton, Oregon, under the Section 8 program are significant. Tenant turnover is a primary concern, with market rents at $1,891 compared to the Federal Market Rent (FMR) of $1,870 for fiscal year 2024. This slight discrepancy can lead to frequent changes in occupancy, causing instability and additional administrative burdens.
Vacancy exposure is another critical issue. The days on market (DOM) for rental properties in this area is not available, which suggests a lack of comprehensive data and potentially unpredictable market conditions. Landlords must be prepared for periods where their property might remain unoccupied, leading to lost rental income.
Deferred maintenance is a substantial risk, particularly given the typical home value of $544,677 and the median household income of $108,453. These figures indicate that residents may have limited financial resources to cover unexpected repairs and maintenance costs, which could fall to the landlord if the tenants do not maintain their properties adequately.
Despite these challenges, there are mitigating factors. The renter share of the population stands at 23.9%, a relatively high percentage that often correlates with higher demand for housing vouchers. This increased demand can provide a stable stream of tenants who are committed to paying their rent through the Section 8 program, reducing the likelihood of prolonged vacancies.
In conclusion, the risks associated with becoming a first-time Section 8 landlord in ZIP code 97111 are moderate. While tenant turnover and deferred maintenance pose significant challenges, the high renter density offers a measure of stability through consistent voucher demand.
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.