Location: Salem, OR | Metro: Portland-Vancouver-Hillsboro, OR-WA MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,440 |
| 1 Bedroom | $1,510 |
| 2 Bedrooms | $1,830 |
| 3 Bedrooms | $2,500 |
| 4 Bedrooms | $2,880 |
| 5 Bedrooms | $3,341 |
| 6 Bedrooms | $3,742 |
| 7 Bedrooms | $4,041 |
| 8 Bedrooms | $4,243 |
U.S. Census Bureau data (2024)
The median income in ZIP code 97375 stands at $110,758, providing a solid financial foundation for households. However, when considering the market rate rent of $1,375, it becomes evident that this figure represents a significant portion of monthly earnings, especially when factoring in other living expenses.
Comparatively, the Federal Market Rent (FMR) standard for voucher payments in ZIP 97375 for fiscal year 2024 is set at $2,050. This higher amount is designed to cover the cost of renting in areas where market rates exceed the average household's ability to pay without assistance. It means that tenants with vouchers could potentially offer more financially to landlords than those paying market rate rent.
With only 10.6% of the 1,346 residents being renters, the competition among landlords is relatively low. The small number of renters suggests that properties might be less saturated, offering landlords an opportunity to target a niche market effectively. However, the affordability gap between the median income and both market rate and voucher-standard rents highlights a challenge in attracting tenants who can consistently meet rental obligations.
The takeaway for landlords is clear: while market rate tenants exist, they represent a smaller pool and may struggle with affordability. Voucher tenants, on the other hand, can provide a more stable income stream due to the higher payment standard. Landlords should consider the benefits of accepting vouchers, which can mitigate risks associated with non-payment and ensure a steady, government-backed rental income.
Data Sources: FMR data from HUD (2027). 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.