Section 8 Fair Market Rent (FMR) for ZIP 98102 - 2027

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

Investment Score for ZIP 98102

Monthly Rent (2BR)

$3,030

Median Price (2BR)

$709,930

1% Rule

0.43%

Annual Yield

5.12%

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	$2,490
1 Bedroom	$2,590
2 Bedrooms	$3,030
3 Bedrooms	$3,950
4 Bedrooms	$4,700
5 Bedrooms	$5,452
6 Bedrooms	$6,106
7 Bedrooms	$6,594
8 Bedrooms	$6,924

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	$2,590	$381,252	0.68%	D
2BR	$3,030	$709,930	0.43%	F
3BR	$3,950	$1,115,968	0.35%	F
4BR	$4,700	$1,696,899	0.28%	F
5BR	$5,452	$2,124,262	0.26%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

27,333

Median Household Income

$114,925

Housing Units

18,488

Renter Percentage

73.0%

Occupancy Rate

94.6%

Renter Occupied

12,761

The ZIP code 98102 is located in the heart of Seattle, Washington, offering residents access to vibrant urban life, diverse dining options, and a plethora of cultural activities. This area is highly sought after due to its proximity to major employers, public transportation, and educational institutions, making it a prime location for both tenants and investors.

The Fair Market Rent (FMR) for ZIP 98102 is set at $2,910 for the fiscal year 2024, indicating the rental market's robustness and potential for steady returns on investment.
The Zillow Observed Rent Index (ZORI) for the area stands at $1,979, suggesting that while rents are high, they remain competitive and below the FMR threshold, providing opportunities for price differentiation.
The median home value in ZIP 98102 is $740,599, reflecting the overall desirability and stability of the housing market in this region.
Renters make up a significant portion of the population, with a 73.0% renter share, underscoring the strong demand for rental properties in this area.
The days on market (DOM) for rental listings average 33 days, which is relatively low, showing that properties are quickly leased once listed, reducing vacancy periods.
The median household income in the area is $114,925, indicating a financially stable tenant pool capable of affording higher rents.

Investors looking to enter the rental market in ZIP 98102 can expect a robust and competitive environment. The combination of a high median income and a substantial renter share supports strong rental demand. However, the difference between the ZORI and FMR suggests there is room for strategic pricing. A quick leasing process, as evidenced by the low DOM, will likely translate into minimal vacancy risk. Overall, the area presents a favorable investment opportunity for those willing to navigate its competitive landscape.

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.