Location: Douglas County, OR | Metro: Douglas 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 | $790 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,600 |
| 4 Bedrooms | $1,920 |
| 5 Bedrooms | $2,227 |
| 6 Bedrooms | $2,494 |
| 7 Bedrooms | $2,694 |
| 8 Bedrooms | $2,829 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,150 | $217,872 | 0.53% | F |
| 3BR | $1,600 | $300,377 | 0.53% | F |
U.S. Census Bureau data (2024)
The Section 8 program in ZIP code 97442, located in Glendale, Oregon, presents a unique opportunity for landlords and small-portfolio investors due to the significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for the metro area in fiscal year 2026 is set at $1,160, while the Census ACS data shows the market rent to be $1,062. This creates a $98 gap, representing an 8.4% difference in favor of the FMR.
This gap makes Glendale an attractive location for voucher tenants. Given that the FMR exceeds the market rent, landlords can expect to receive a higher rental income per unit when renting to Section 8 tenants. This is because the government will cover the difference between the market rent and the FMR, ensuring a stable and reliable income stream. In a market where only 17.8% of residents are renters, the competition for quality rental properties is lower, making it easier to attract and retain tenants who benefit from housing vouchers.
The median home value in Glendale is $262,791, and the median income is $46,979. These figures indicate that homeownership might be challenging for some residents, pushing them towards the rental market. Therefore, offering affordable rental units through the Section 8 program can help fill a critical need in the community while providing a solid investment opportunity for landlords.
However, landlords must also consider the potential drawbacks of accepting Section 8 tenants. While the guaranteed income is appealing, the administrative process can be cumbersome. Additionally, the rent collected from voucher tenants is fixed at the FMR rate, which means landlords may not benefit from increases in market rents if they choose to accept Section 8 vouchers.
To summarize, the $98 gap between the FMR and market rent in Glendale, OR, represents a yield play for landlords willing to participate in the Section 8 program. It ensures a steady income above the typical market rent, but it comes with the trade-off of administrative complexity and potentially missing out on higher market rents.
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.