Location: Lincoln County, OR | Metro: Eugene-Springfield, 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 | $1,110 |
| 1 Bedroom | $1,160 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $2,120 |
| 4 Bedrooms | $2,550 |
| 5 Bedrooms | $2,958 |
| 6 Bedrooms | $3,313 |
| 7 Bedrooms | $3,578 |
| 8 Bedrooms | $3,757 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,520 | $421,647 | 0.36% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 97390, located in Tidewater, Oregon within Lincoln County, can be quite favorable for landlords when understood correctly. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code for fiscal year 2024 is set at $1330. This SAFMR is the maximum amount that the housing authority will pay for a two-bedroom unit under the Section 8 program.
However, the local market rent for a two-bedroom apartment, according to the Census ACS, is much lower at $755. This discrepancy means that landlords can potentially receive a higher rent payment for their units than they would in the open market, making participation in the Section 8 program financially attractive.
When a tenant uses a Section 8 voucher, they are responsible for paying a portion of the rent themselves, which is typically around 30% of their income. For ZIP 97390, if we assume the tenant's portion is $400, then the housing authority would cover the remaining balance up to the SAFMR of $1330. This means the landlord would receive $930 from the housing authority and $400 from the tenant, totaling $1330 per month.
In addition to the base rent, the housing authority also provides utility allowances. These allowances vary but are generally calculated based on the size of the unit and the specific needs of the household. For a two-bedroom apartment, let’s say the utility allowance is $200 per month. This amount is paid directly to the landlord by the housing authority, increasing the total monthly payment to $1530 ($1330 base rent + $200 utilities).
To put this into perspective, the local market rent for a two-bedroom unit is $755. By participating in the Section 8 program, landlords in ZIP 97390 can expect to receive a reimbursement of $1530, which is significantly higher than the market rate. This results in a surplus of $775 per month over the local market rent ($1530 - $755).
This surplus can be used to offset costs such as maintenance, property management, and other expenses associated with owning rental properties. It’s important for landlords to understand that while the SAFMR sets the maximum, the actual reimbursement can vary depending on the tenant’s income and the specific terms of their voucher.
In summary, landlords in ZIP 97390 can expect a reimbursement of $1530 for a two-bedroom unit when a tenant uses a Section 8 voucher, leading to a surplus of $775 compared to the local market rent of $755. This makes the Section 8 program a lucrative option for those willing to participate.
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.