Location: Seattle-Bellevue, WA | Metro: Seattle-Bellevue, WA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,430 |
| 1 Bedroom | $2,530 |
| 2 Bedrooms | $2,960 |
| 3 Bedrooms | $3,860 |
| 4 Bedrooms | $4,590 |
| 5 Bedrooms | $5,324 |
| 6 Bedrooms | $5,963 |
| 7 Bedrooms | $6,440 |
| 8 Bedrooms | $6,762 |
U.S. Census Bureau data (2024)
The ZIP code 98050 presents a unique scenario for real estate investment, particularly when considering it through the lens of yield and stability for Section 8 landlords and small-portfolio investors.
Yield Analysis: The Fair Market Rent (FMR) for ZIP 98050 in fiscal year 2024 is set at $2700. This figure represents the maximum amount that can be charged for Section 8 rental units. Given the absence of market rent data, we must rely on the FMR to gauge potential income. The median home value in this area is $1,456,257, which is significantly higher than the FMR, suggesting a high-yield environment relative to property values. However, without comparative market rent data, it's challenging to provide a precise assessment of how competitive this yield is against non-subsidized rentals.
Stability Analysis: Stability indicators such as the percentage of renters and the days on market (DOM) are crucial for evaluating the risk associated with rental investments. For ZIP 98050, there is an alarming 0.0% of renters, which implies almost no demand for rental properties in this area. This lack of rental activity could be indicative of a very low vacancy rate or a strong preference for homeownership among residents. Additionally, the absence of DOM and median income data further complicates the stability assessment. These missing pieces make it difficult to predict the likelihood of consistent cash flow and tenant retention.
Based on the available data, ZIP 98050 leans towards a high-yield but potentially low-stability market. The high FMR relative to the median home value suggests significant returns for Section 8 properties. However, the complete absence of renters signals a highly specialized market where finding tenants might be challenging, thus affecting the overall stability and reliability of cash flow.
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.