Section 8 Fair Market Rent (FMR) for ZIP 97219 - 2027

Investment Score for ZIP 97219

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	$1,600
1 Bedroom	$1,710
2 Bedrooms	$1,970
3 Bedrooms	$2,670
4 Bedrooms	$3,220
5 Bedrooms	$3,735
6 Bedrooms	$4,183
7 Bedrooms	$4,518
8 Bedrooms	$4,744

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	$1,710	$353,759	0.48%	F
2BR	$1,970	$467,730	0.42%	F
3BR	$2,670	$607,960	0.44%	F
4BR	$3,220	$770,299	0.42%	F
5BR	$3,735	$921,075	0.41%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Market Analysis for ZIP Code 97219 (Portland, OR) Introduction: ZIP code 97219 is located in Multnomah County, Portland, Oregon. This area has a population of 42,430 residents, with a median household income of $121,306. The rental market is relatively small, accounting for only 27.5% of the total housing units, while the occupancy rate stands at a high 96.1%. This analysis will focus on the dynamics of the Section 8 voucher program, affordability, renter profile, investor potential, and actionable insights for real estate investors. 1. Section 8 Voucher Dynamics: The Fair Market Rent (FMR) for ZIP 97219 in 2026 is set as follows: - 0BR: $1670 - 1BR: $1790 - 2BR: $2050 (20.3% of median income) - 3BR: $2790 - 4BR: $3320 These figures represent the maximum amount that a Section 8 voucher holder can pay towards rent. However, the actual rents in the market can be significantly higher. For instance, the Zillow median price for a 2BR unit is $468,219, which translates into a monthly rent of approximately $1,909 based on a 5% annual rental yield. This means that the actual rent for a 2BR unit is around $1,909, which is nearly $1,000 above the FMR of $909. This disparity creates significant constraints for voucher holders, who must find properties willing to accept the lower FMR rates. It also limits their ability to secure desirable units, as landlords may prefer tenants who can afford the market rate rents. 2. Affordability & Renter Profile: Given the high median household income of $121,306, the rental market in ZIP 97219 is generally not affordable for the average renter. The 2BR FMR of $2050 represents only 20.3% of the median income, indicating that the majority of residents have the financial capability to purchase rather than rent. The high occupancy rate of 96.1% suggests that the market is tight, with few vacant units available. This tightness is further compounded by the low percentage of renters (27.5%) relative to the overall population. The market is likely oversupplied with owner-occupied homes, leading to fewer rental options and higher competition among renters. 3. Investor Angle: For investors focusing on Section 8 vouchers, the cash flow potential in ZIP 97219 is limited due to the low FMR compared to market rents. A 2BR unit, for example, would need to be rented out at the FMR of $2050 to comply with the program. However, the actual market rent for a 2BR unit is approximately $1,909, which is much higher. This means that landlords who accept Section 8 vouchers will face a significant reduction in rental income. To determine the investment grade, we must consider the risk and return. Given the high median income and tight market, there is a strong demand for housing, but the supply of rental units is constrained. Investors should weigh the benefits of long-term stability and government-backed payments against the lower rental income. 4. Specific Actionable Insights: - **Rent Negotiation:** Landlords who are willing to accept Section 8 vouchers should consider negotiating with tenants to find a balance between the FMR and market rent. This could involve offering additional amenities or services to justify a slightly higher rent. - **Property Conversion:** Investors might consider converting owner-occupied homes into rental properties to increase the number of units available for Section 8 tenants. This could help meet the demand and potentially improve cash flow if the conversion is done efficiently. - **Focus on Smaller Units:** Given the high price-to-FMR ratio of 19.0x for 2BR units, investors should focus on smaller units like 0BR or 1BR, where the gap between FMR and market rent is less pronounced. These units are more likely to be rented at or near the FMR, providing a more stable and predictable cash flow. 5. Bottom Line: For Section 8-focused investors, the recommendation for ZIP 97219 is to **Skip**. The high market rents and low FMR create a challenging environment for cash flow, and the tight market makes it difficult to find suitable properties. While there is a strong demand for housing, the constraints imposed by the Section 8 program make this ZIP code less attractive for investors seeking positive cash flow. In conclusion, ZIP 97219 presents a complex rental market with high competition and limited opportunities for Section 8 voucher holders. The high price-to-FMR ratio indicates that the market is not aligned with the goals of the Section 8 program, making it a less favorable investment choice for those focused on this type of tenant.

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.