Section 8 Fair Market Rent (FMR) for ZIP 98001 - 2027

Location: Tacoma, WA | Metro: Seattle-Bellevue, WA HUD Metro FMR Area

Investment Score for ZIP 98001

F
Monthly Rent (2BR)
$2,600
Median Price (2BR)
$466,270
1% Rule
0.56%
Annual Yield
6.69%

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$2,130
1 Bedroom$2,220
2 Bedrooms$2,600
3 Bedrooms$3,390
4 Bedrooms$4,030
5 Bedrooms$4,675
6 Bedrooms$5,236
7 Bedrooms$5,655
8 Bedrooms$5,938

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
2BR $2,600 $466,270 0.56% F
3BR $3,390 $576,575 0.59% F
4BR $4,030 $705,013 0.57% F
5BR $4,675 $774,902 0.6% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
37,460
Median Household Income
$106,791
Housing Units
12,447
Renter Percentage
26.1%
Occupancy Rate
96.3%
Renter Occupied
3,129

The ZIP code 98001 in Auburn, WA, has a population of 37,460, with 26.1% of residents being renters. This indicates that the area is moderately renter-heavy but leans towards a homeowner-dominated community. The median household income in this ZIP is $106,791, which provides a solid economic foundation for potential tenants.

The market rent for the area is $2,298, representing approximately 21.5% of the median household income. This percentage suggests that while rent is a significant portion of income, it is manageable for many households. Notably, the Fair Market Rent (FMR) for ZIP 98001 is set at $2,620 for FY 2024, indicating that market rents are slightly below the federally determined fair market level.

In terms of voucher demand, the presence of 26.1% renters implies there could be a moderate demand for Section 8 vouchers. However, given the higher median income, it's likely that not all renters will qualify for or seek out Section 8 assistance. Landlords in this area can expect a mix of tenants, including those who might use vouchers, but also a substantial number of tenants paying market rates.

To summarize, landlords in ZIP 98001 should anticipate a tenant pool that is both economically diverse and largely capable of meeting market rental demands without subsidy. While some tenants may utilize Section 8 vouchers, the majority will likely be individuals or families with stable incomes, able to cover the typical rent of $2,298 per month.

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.