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 | $1,560 |
| 1 Bedroom | $1,670 |
| 2 Bedrooms | $1,920 |
| 3 Bedrooms | $2,610 |
| 4 Bedrooms | $3,140 |
| 5 Bedrooms | $3,642 |
| 6 Bedrooms | $4,079 |
| 7 Bedrooms | $4,405 |
| 8 Bedrooms | $4,625 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,670 | $277,836 | 0.6% | D |
| 2BR | $1,920 | $440,431 | 0.44% | F |
| 3BR | $2,610 | $741,586 | 0.35% | F |
| 4BR | $3,140 | $888,309 | 0.35% | F |
| 5BR | $3,642 | $1,024,603 | 0.36% | F |
U.S. Census Bureau data (2024)
The ZIP code 97232 in Portland, OR, stands out within Multnomah County due to its unique demographic and economic characteristics. With a population of 15,615 residents, this area has a significant rental market, with 73.0% of the residents being renters. The median income here is $70,895, which is relatively high compared to other areas in the city. However, the median home value at $651,420 indicates that homeownership is quite expensive, likely contributing to the high percentage of renters.
Turning to the voucher economics, the Fair Market Rent (FMR) for ZIP 97232 is set at $2,110 for the fiscal year 2024. This figure is notably higher than the market rent, measured by the Zillow Observed Rent Index (ZORI), which is currently at $1,578. This discrepancy suggests that landlords can potentially charge more for Section 8 tenants than what the market rent would otherwise dictate. For example, a landlord could expect to receive up to $2,110 per month under the voucher program, whereas the typical market rate is only $1,578. This provides a substantial incentive for landlords to participate in the Section 8 program in this ZIP code.
The data signature for ZIP 97232 reads as stable. The high percentage of renters combined with a relatively high median income indicates a consistent demand for rental housing. Moreover, the gap between the FMR and the market rent signals a healthy balance where both landlords and tenants can benefit from the Section 8 program. The median home value also suggests that the area is attractive for homeownership, further supporting the stability of the local real estate market. For small-portfolio investors, this ZIP code presents an opportunity to capitalize on the robust rental market and the favorable economics of the Section 8 program.
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.