Section 8 Fair Market Rent (FMR) for ZIP 98029 - 2027

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

Investment Score for ZIP 98029

F
Monthly Rent (2BR)
$3,310
Median Price (2BR)
$580,541
1% Rule
0.57%
Annual Yield
6.84%

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$2,720
1 Bedroom$2,830
2 Bedrooms$3,310
3 Bedrooms$4,320
4 Bedrooms$5,130
5 Bedrooms$5,951
6 Bedrooms$6,665
7 Bedrooms$7,198
8 Bedrooms$7,558

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
1BR $2,830 $367,800 0.77% D
2BR $3,310 $580,541 0.57% F
3BR $4,320 $1,113,256 0.39% F
4BR $5,130 $1,495,686 0.34% F
5BR $5,951 $1,925,191 0.31% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
30,586
Median Household Income
$170,759
Housing Units
12,722
Renter Percentage
37.7%
Occupancy Rate
95.2%
Renter Occupied
4,572

The Fair Market Rent (FMR) for ZIP code 98029, which includes Issaquah, WA, is set at $3680 for fiscal year 2024. This figure represents the maximum amount that a landlord can charge for rent under the Section 8 program. It's important to note that this is not the rent you'll be setting for your property; it's the upper limit for reimbursement from the housing authority.

In comparison, the local market rent, known as the Zillow Observed Rental Index (ZORI), stands at $3,031. This means that the FMR is slightly higher than the typical market rent in the area, which could be beneficial for landlords participating in the Section 8 program as they might receive more in subsidies than they would from market-rate tenants.

The demand for rental properties in this area is strong, with 37.7% of the population being renters. This indicates a significant portion of the community looking for housing, including those who might qualify for the Section 8 program. The average acquisition cost for a rental property in Issaquah, based on recent sales, is around $1,195,247. This high cost reflects the desirability of the area and the potential for steady rental income.

Before you decide to enroll your property in the Section 8 program, verify that your property meets all the eligibility requirements, such as passing a Housing Quality Standards (HQS) inspection. This ensures compliance with federal standards and qualifies your property for the program.

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.