Section 8 Fair Market Rent (FMR) for ZIP 97338 - 2027

Location: Salem, OR | Metro: Salem, OR MSA

Investment Score for ZIP 97338

F
Monthly Rent (2BR)
$1,560
Median Price (2BR)
$375,479
1% Rule
0.42%
Annual Yield
4.99%

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$1,180
1 Bedroom$1,190
2 Bedrooms$1,560
3 Bedrooms$2,160
4 Bedrooms$2,360
5 Bedrooms$2,738
6 Bedrooms$3,067
7 Bedrooms$3,312
8 Bedrooms$3,478

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
2BR $1,560 $375,479 0.42% F
3BR $2,160 $468,677 0.46% F
4BR $2,360 $556,856 0.42% F
5BR $2,738 $649,551 0.42% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
23,419
Median Household Income
$78,858
Housing Units
9,176
Renter Percentage
26.8%
Occupancy Rate
96.1%
Renter Occupied
2,366

1220 is the Fair Market Rent (FMR) for ZIP code 97338 in Dallas, OR, for fiscal year 2024, setting a clear benchmark for rental pricing. 1654 is the actual market rent (ZORI), indicating that properties in this area command a premium over the FMR, suggesting strong demand. 473402 is the median home value, reflecting a robust housing market where investments can potentially yield high returns. 26.8 is the percentage of residents who are renters, highlighting a significant portion of the population that relies on rental housing, which is crucial for landlords and investors. 78858 is the median income, showing that while it's below the ZORI threshold, there is still a substantial income base supporting rental demand. 41 is the average number of days on the market (DOM) for rental listings, indicating a relatively quick turnover and efficient rental market. 0.2 is the percentage of rental listings that require price cuts, demonstrating that the market is stable and that landlords can generally maintain their asking prices without adjustments. Given these figures, the Section 8 program remains a viable option for landlords and small-portfolio investors in ZIP 97338, as it ensures a steady stream of income at a rate just below the market rent, while also tapping into the sizable renter demographic.

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.