Location: Klamath County, OR | Metro: Klamath County, OR
| Unit Size | Monthly FMR |
|---|---|
| Studio | $780 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,130 |
| 3 Bedrooms | $1,570 |
| 4 Bedrooms | $1,890 |
| 5 Bedrooms | $2,192 |
| 6 Bedrooms | $2,455 |
| 7 Bedrooms | $2,651 |
| 8 Bedrooms | $2,784 |
U.S. Census Bureau data (2024)
ZIP Code 97625, located in Klamath County, Oregon, offers an interesting opportunity for inclusion in a Section 8 portfolio strategy. Given the limited number of housing units (87), this area can serve as a diversifier within a larger investment portfolio.
The median home value in 97625 is $179,800, significantly below the fiscal year 2026 Fair Market Rent (FMR) for the metro area, which is $1,240. This suggests that the rental market could potentially offer stable returns, especially considering the median household income of $27,188. Despite the low income levels, the ZIP code's demographics indicate a high demand for affordable housing, with 49 households being husband-wife family households.
ZIP 97625 stands out as a diversifier because of its unique characteristics. The population density is one of the lowest in the country, making it ideal for investors seeking to balance urban and rural investments. Additionally, the racial diversity, with a significant portion of residents identifying as two or more races (5%), adds another layer of diversity to the portfolio.
While appreciation plays are less likely due to the low population density and limited growth potential, the stability of rental income makes it a solid choice for cash flow. The combination of low median home values and a steady demand for affordable housing supports this strategy.
To conclude, ZIP 97625 should be considered a diversifier within a Section 8 portfolio, offering stable rental income in a niche market characterized by its rural setting and demographic uniqueness.
Data Sources: FMR data from HUD (2027). 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.