Location: Albany, OR | Metro: Albany, OR 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 | $1,620 |
| 1 Bedroom | $1,900 |
| 2 Bedrooms | $2,320 |
| 3 Bedrooms | $3,200 |
| 4 Bedrooms | $3,610 |
| 5 Bedrooms | $4,188 |
| 6 Bedrooms | $4,691 |
| 7 Bedrooms | $5,066 |
| 8 Bedrooms | $5,319 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $3,200 | $624,170 | 0.51% | F |
U.S. Census Bureau data (2024)
To classify ZIP code 97377, we need to consider the factors of yield and stability. The Fair Market Rent (FMR) for the area in fiscal year 2024 is set at $1550, which is the amount a landlord can expect to receive from a tenant through the Section 8 program. This figure is crucial when comparing it against the average home value, which stands at $588,600, indicating a relatively high-cost housing market.
The median household income in ZIP 97377 is $120,478, suggesting that residents have a strong ability to pay rent. However, only 35.6% of the population are renters, which implies a significant portion of the community owns their homes. This percentage of renters is lower than many other areas, reducing the pool of potential tenants for rental properties.
When analyzing yield, the FMR of $1550 is the primary focus. Given the high home values, rental properties in this area can generate substantial monthly cash flow relative to the investment cost. For instance, if a property is valued at $588,600, an annual rent of $18,600 (based on the FMR) represents a yield of approximately 3.16%. This is not exceptionally high but is reasonable considering the property values and the demand for rental units.
Regarding stability, the percentage of renters is a key indicator. With only 35.6% of the population renting, there is less turnover and potentially more stable tenancy. However, the lack of data on the days on market (DOM) suggests some uncertainty about how quickly properties can be rented out. A higher DOM would indicate slower market activity and potentially less stability.
Based on these figures, ZIP 97377 appears to be a steady-cashflow zone rather than a high-yield/low-stability flip-style market. The yield is moderate due to the high home values, and the stability is somewhat assured by the decent median income and the likelihood of longer-term tenants. However, the relatively low percentage of renters might limit the overall demand for rental properties, making it less ideal for aggressive flipping strategies.
To conclude, for landlords and small-portfolio investors looking to enter ZIP 97377, the area offers a balanced opportunity with moderate yields and a reasonably stable tenant base. The focus should be on properties that can attract long-term tenants given the local economic conditions and the high cost of living.
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.