Location: Lincoln County, OR | Metro: Lincoln County, OR
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 | $1,010 |
| 1 Bedroom | $1,020 |
| 2 Bedrooms | $1,340 |
| 3 Bedrooms | $1,840 |
| 4 Bedrooms | $2,240 |
| 5 Bedrooms | $2,598 |
| 6 Bedrooms | $2,910 |
| 7 Bedrooms | $3,143 |
| 8 Bedrooms | $3,300 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,020 | $317,119 | 0.32% | F |
| 2BR | $1,340 | $443,569 | 0.3% | F |
| 3BR | $1,840 | $524,159 | 0.35% | F |
| 4BR | $2,240 | $633,626 | 0.35% | F |
U.S. Census Bureau data (2024)
ZIP code 97394, located in Waldport, Oregon, within the Lincoln County metro area, presents an interesting real estate scenario. The Fair Market Rent (FMR) for the area is set at $1,340 for fiscal year 2026, which is notably higher than the average market rent of $1,195. This suggests that while the government's benchmark for rental affordability is slightly elevated, actual market rents are lower, potentially indicating a favorable environment for landlords who can attract tenants with slightly more affordable rates.
The median home value in ZIP 97394 stands at $472,734, which is consistent with the broader Lincoln County market. However, the renter share of the population in this ZIP code is quite high at 20.3%. Typically, a higher renter share combined with below-average home values could signal a potential sweet spot for Section 8 properties. In the case of ZIP 97394, although the renter share is substantial, the home values are on par with the county average, suggesting that it is neither a value pocket nor a premium sub-market, but rather a mid-tier neighborhood.
Despite being a mid-tier neighborhood, the discrepancy between the FMR and the market rent indicates a slight advantage for landlords. The higher FMR means that the government subsidy for Section 8 tenants might be more generous in this area, allowing landlords to charge closer to the FMR without exceeding market rents. This could translate into better cash flow opportunities for those willing to participate in the Section 8 program.
In summary, ZIP 97394 offers a balanced opportunity for landlords and small-portfolio investors within the Lincoln County metro. It is not significantly undervalued compared to other areas, but the combination of a high renter share and favorable FMR conditions makes it a noteworthy consideration for those interested in Section 8 properties.
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.