Location: Klamath County, OR | Metro: Klamath 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 | $800 |
| 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 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,570 | $371,020 | 0.42% | F |
U.S. Census Bureau data (2024)
The analysis of ZIP code 97627 in Klamath County, Oregon reveals key insights for landlords and small-portfolio investors.
The rent math does not work favorably. The Fair Market Rent (FMR) for the area, set at $1,150 for the fiscal year 2026, is the only figure available. Without comparative data on market rent, it's challenging to assess how competitive this rate is. However, given that FMR is typically higher than actual market rents, especially in less urbanized areas, landlords might find it difficult to charge $1,150 per month consistently without adjustments based on local conditions.
Acquisition in this ZIP code is relatively affordable. The median home value stands at $353,031, which is a reasonable investment for property owners looking to enter the market. Unfortunately, the data on days on market (DOM) and the percentage of homes that required a price cut is not available, making it harder to gauge the current market dynamics. Despite this lack of information, the median home value suggests that purchasing a property here could be within reach for many investors.
Tenant demand is moderate. With a total population of 229, the area has a 27.0% renter share, indicating a smaller but steady pool of potential tenants. This percentage suggests that nearly 62 individuals in the ZIP code are likely to be seeking rental housing. While the number of renters is limited, the proportion of the population renting is significant enough to support a few rental properties.
Verdict: ZIP 97627 presents an opportunity for investors who can navigate the uncertainty around market rents and are willing to adjust their expectations. The affordability of acquiring a property is balanced against the limited tenant demand, suggesting that careful management and competitive pricing will be crucial to success. Investors should focus on understanding local rental rates and ensuring their properties offer good value to attract and retain tenants.
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.