Location: Eugene-Springfield, 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 | $1,300 |
| 1 Bedroom | $1,320 |
| 2 Bedrooms | $1,730 |
| 3 Bedrooms | $2,400 |
| 4 Bedrooms | $2,890 |
| 5 Bedrooms | $3,352 |
| 6 Bedrooms | $3,754 |
| 7 Bedrooms | $4,054 |
| 8 Bedrooms | $4,257 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,320 | $319,350 | 0.41% | F |
| 2BR | $1,730 | $365,897 | 0.47% | F |
| 3BR | $2,400 | $441,363 | 0.54% | F |
| 4BR | $2,890 | $510,810 | 0.57% | F |
| 5BR | $3,352 | $547,185 | 0.61% | D |
U.S. Census Bureau data (2024)
The classification of ZIP 97404 in Eugene, OR, hinges on the interplay between its rental yield and market stability. The Fair Market Rent (FMR) for the area in fiscal year 2024 is set at $1,390, while the market rent stands at $1,906. This suggests a potential upside for landlords willing to manage their properties effectively to command higher rents. However, the median home value of $438,885 indicates that flipping properties for profit might be less attractive due to the relatively high cost basis.
To assess stability, consider the following metrics: 29.1% of residents are renters, which provides a decent but not overwhelming pool of potential tenants. The Days on Market (DOM) figure of 17 days signals a fairly robust demand for rental units, suggesting that properties are likely to be occupied promptly once they become available. Additionally, the average household income of $86,776 supports the ability of residents to afford higher rents, enhancing the likelihood of consistent cash flow.
Based on these figures, ZIP 97404 leans towards being a steady-cashflow zone rather than a high-yield/low-stability market. The gap between the FMR and market rent ($1,390 vs $1,906) implies opportunities for higher yields if market conditions are well understood and managed. Yet, the relatively high home values and moderate percentage of renters suggest that rapid turnover or speculative flipping would be less profitable. Instead, the market appears to favor long-term investment strategies where properties can generate reliable rental income over time.
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.