Location: Coos County, OR | Metro: Coos 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 | $860 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,140 |
| 3 Bedrooms | $1,590 |
| 4 Bedrooms | $1,910 |
| 5 Bedrooms | $2,216 |
| 6 Bedrooms | $2,482 |
| 7 Bedrooms | $2,681 |
| 8 Bedrooms | $2,815 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $890 | $225,073 | 0.4% | F |
| 2BR | $1,140 | $265,901 | 0.43% | F |
| 3BR | $1,590 | $352,651 | 0.45% | F |
| 4BR | $1,910 | $405,606 | 0.47% | F |
| 5BR | $2,216 | $440,401 | 0.5% | F |
U.S. Census Bureau data (2024)
The potential risks for a Section 8 landlord investing in ZIP code 97420 in Coos Bay, OR, are significant and should be carefully considered before proceeding. Tenant turnover is a major concern, as the market rent stands at $1,723 compared to the Fair Market Rent (FMR) of $1,210 for fiscal year 2026. This discrepancy suggests that tenants receiving vouchers may struggle to keep up with the higher market rents, leading to frequent turnover and associated costs.
Vacancy exposure is another issue, with an average Days on Market (DOM) of 25 days. While this is relatively short, it still represents a period where the property will not generate rental income, impacting cash flow and profitability. Given the $323,642 typical home value in the area, landlords may also face deferred maintenance issues. The median income of $61,574 indicates that many tenants may have limited financial resources, potentially leading to deferred maintenance claims that can be costly to address.
However, these risks must be weighed against the high proportion of renters in the area, which is 32.7%. High renter density generally translates into higher demand for housing vouchers, which can stabilize occupancy rates and provide a steady stream of income. Additionally, the Section 8 program offers a measure of security in terms of timely rent payments, which can offset some of the financial risks associated with lower-income tenants.
In conclusion, despite the challenges posed by tenant turnover, vacancy exposure, and deferred maintenance, the high renter density and the stability provided by the Section 8 program make the overall risk for a first-time landlord in ZIP 97420 moderate.
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.