Section 8 Fair Market Rent (FMR) for ZIP 97502 - 2027

Location: Medford, OR | Metro: Medford, OR MSA

Investment Score for ZIP 97502

F
Monthly Rent (2BR)
$1,570
Median Price (2BR)
$337,544
1% Rule
0.47%
Annual Yield
5.58%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,100
1 Bedroom$1,270
2 Bedrooms$1,570
3 Bedrooms$2,170
4 Bedrooms$2,590
5 Bedrooms$3,004
6 Bedrooms$3,364
7 Bedrooms$3,633
8 Bedrooms$3,815

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
1BR $1,270 $296,904 0.43% F
2BR $1,570 $337,544 0.47% F
3BR $2,170 $419,472 0.52% F
4BR $2,590 $558,231 0.46% F
5BR $3,004 $681,634 0.44% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
29,067
Median Household Income
$83,488
Housing Units
11,789
Renter Percentage
26.7%
Occupancy Rate
97.0%
Renter Occupied
3,053
Based on the available data, ZIP 97502, which encompasses Central Point, OR, within the Medford, OR MSA, serves best as a diversifier within a Section 8 portfolio strategy.

The median income in ZIP 97502 stands at $83,488, indicating a moderate economic environment that supports a significant 26.7% renter share. This makes it an ideal location for diversifying investment risks, as it offers a stable tenant base without relying solely on high-income areas.

In comparison to other strategies, the cash-flow anchor role is less compelling. The Fair Market Rent (FMR) for ZIP 97502 in fiscal year 2024 is set at $1,490, while the average market rent is higher at $1,767. The difference between the FMR and market rent suggests a potential challenge in achieving optimal cash flow, especially when considering the median home value of $420,158. Landlords might find it difficult to fully leverage the market rent due to the constraints of Section 8 vouchers.

Regarding appreciation plays, the data shows a 0.2% price-cut share and a 22-day days-on-market (DOM), which indicate a relatively stable market with little volatility. However, these figures do not point to substantial appreciation potential, making it less suitable for an appreciation-focused strategy.

Therefore, ZIP 97502's characteristics align most closely with a diversification strategy. It provides a mix of affordability and stability, ensuring a consistent stream of tenants who can contribute to long-term financial health without the need for significant price adjustments. The presence of a notable renter population also mitigates the risk associated with over-relying on owner-occupied 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.