Location: Wheeler County, OR | Metro: Gilliam 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 | $720 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,700 |
| 5 Bedrooms | $1,972 |
| 6 Bedrooms | $2,209 |
| 7 Bedrooms | $2,386 |
| 8 Bedrooms | $2,505 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,010 | $178,230 | 0.57% | F |
U.S. Census Bureau data (2024)
If a landlord is considering purchasing a property in ZIP code 97830 (Fossil, OR) for Section 8 investment, they must first evaluate whether the Fair Market Rent (FMR) of $970 for the metro area in fiscal year 2026 can cover the debt service on a property valued at $237,790. This is the primary gatekeeping question.
Does FMR $970 clear debt service on a $237,790 property?
No: The FMR of $970 does not sufficiently cover the debt service for a property priced at $237,790. Debt service typically includes mortgage payments, property taxes, insurance, and maintenance costs. Given that FMR is the maximum amount a landlord can charge for Section 8 tenants, it is unlikely to generate enough income to meet these financial obligations.
It Depends: If the landlord has a lower-cost financing option, such as a low-interest rate mortgage or significant equity, the FMR of $970 might be sufficient to clear the debt service. However, this would require a detailed analysis of the specific financing terms and other ongoing costs associated with the property.
Yes: In the unlikely scenario where the landlord's total debt service is less than $970 per month, then the FMR could potentially cover these costs. But this is highly improbable given typical debt service levels for properties in this price range.
Is market rent $725 above, at, or below FMR?
Below FMR: The market rent of $725 is below the FMR of $970, indicating that landlords may receive higher rental income by participating in the Section 8 program compared to renting out the property to non-subsidized tenants. This suggests a positive economic incentive to consider Section 8.
At or Above FMR: If the market rent were at or above the FMR, landlords would have to weigh the benefits of receiving guaranteed income against the administrative complexities and potential restrictions of the Section 8 program.
Are 20.0% renters + N/A-day days on market (DOM) enough demand?
No: With only 20.0% of the population being renters and the lack of data on days on market (DOM), there is insufficient evidence to suggest strong demand for rental properties in this area. Landlords may struggle to find tenants, especially if the market is slow-moving.
It Depends: While the renter percentage is low, the absence of DOM data means we cannot accurately assess how quickly properties are being rented. If the local rental market is stable and the landlord has a solid reputation, there might still be demand for Section 8 properties.
Yes: This branch is not applicable due to the lack of DOM data. However, if there were a high DOM figure, it would indicate a slower market and potentially less demand for rental properties, even with Section 8 subsidies.
In conclusion, the decision to invest in ZIP code 97830 for Section 8 properties hinges on the ability of the FMR to cover debt service, the comparison between market rent and FMR, and the overall demand for rentals. The data provided suggests that unless the landlord has favorable financing conditions, the FMR may not adequately support a $237,790 property, and the low percentage of renters indicates a potentially weak market for rental 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.