Location: Umatilla County, OR | Metro: Grant County, OR
| Unit Size | Monthly FMR |
|---|---|
| Studio | $810 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,160 |
| 3 Bedrooms | $1,610 |
| 4 Bedrooms | $1,880 |
| 5 Bedrooms | $2,181 |
| 6 Bedrooms | $2,443 |
| 7 Bedrooms | $2,638 |
| 8 Bedrooms | $2,770 |
U.S. Census Bureau data (2024)
When considering whether to invest in ZIP code 97880 for Section 8 properties, follow this decision tree:
1) Does the Fair Market Rent (FMR) of $1,240 cover the debt service on a property?
If the FMR does not cover the debt service, then the answer is No. Debt service refers to the total amount of money required to service the debt, including principal and interest payments. Without knowing the specific cost of the property in question, it's impossible to determine if the FMR will cover these costs.
2) Is the market rent of $875 (from Census ACS) above, at, or below the FMR?
The market rent of $875 is below the FMR of $1,240. This suggests that the rental market in ZIP 97880 is less expensive than what the government deems fair for housing assistance. For landlords, this means that they could potentially increase their rental rates to meet or exceed the FMR without losing tenants who receive Section 8 vouchers.
3) Are 11.0% renters combined with the number of days on the market (DOM) sufficient to create enough demand?
The percentage of renters in the area is 11.0%, and the DOM is not specified. However, if we assume that the DOM is reasonable and does not indicate a glut of unsold or unrented properties, then the demand might be sufficient. The key factor here is the actual number of days on the market. If properties are renting quickly, this indicates strong demand. Otherwise, if DOM is high, it suggests a weaker demand environment.
Yes: If the debt service can be covered by the FMR, the market rent is below the FMR, and the DOM is low, indicating strong demand, then investing in ZIP 97880 for Section 8 properties would be advisable.
No: If the FMR cannot cover the debt service, then investing in this ZIP code would not be financially viable.
It Depends: If the market rent is close to the FMR or if the DOM is high, the decision becomes more nuanced. It requires further analysis into the specific property's cost, the landlord's financial situation, and the local real estate trends.
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.