Section 8 Fair Market Rent (FMR) for ZIP 98146 - 2027

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

Investment Score for ZIP 98146

F
Monthly Rent (2BR)
$2,220
Median Price (2BR)
$525,920
1% Rule
0.42%
Annual Yield
5.07%

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$1,820
1 Bedroom$1,900
2 Bedrooms$2,220
3 Bedrooms$2,890
4 Bedrooms$3,440
5 Bedrooms$3,990
6 Bedrooms$4,469
7 Bedrooms$4,827
8 Bedrooms$5,068

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 $1,900 $380,951 0.5% F
2BR $2,220 $525,920 0.42% F
3BR $2,890 $667,989 0.43% F
4BR $3,440 $788,922 0.44% F
5BR $3,990 $886,562 0.45% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
28,573
Median Household Income
$102,520
Housing Units
11,049
Renter Percentage
36.0%
Occupancy Rate
96.1%
Renter Occupied
3,827

The real estate landscape in ZIP 98146 (Burien, WA) presents a nuanced scenario for both landlords and small-portfolio investors. With a median home value of $693,799, the area reflects a stable housing market. The fact that only 0.2% of listings have been reduced indicates a strong seller's market, where homes are holding their value well and there's little pressure to lower prices. This is further supported by the short 24-day median Days on Market (DOM), suggesting that homes are selling quickly, often before reaching price reduction.

On the rental side, the Forward Moving Rent (FMR) for ZIP 98146 is projected at $2,280 for fiscal year 2024, compared to the current market rate of $1,945 (ZORI). This suggests an upward trend in rental prices, which could be beneficial for long-term investors looking to capitalize on future rent increases. The gap between FMR and ZORI signals potential growth in rental income as market rates catch up with the forecasted rents.

For long-hold investors, the setup in Burien implies a realistic appreciation thesis based on the steady increase in median home values and the projected rise in rental rates. However, the slow pace of listing reductions (0.2%) and the quick sale times (24 days DOM) indicate that while there might be some appreciation, it won't come from rapid price hikes. Instead, the appreciation will likely be gradual, reflecting a balanced market where demand slightly outpaces supply.

In summary, the data points to a market where pricing power remains with sellers, but the potential for significant jumps in home values is limited. Long-term investors should focus on the rental income aspect, anticipating an increase in rental rates over the next 12-24 months. This strategy aligns with the current market dynamics, offering a sustainable approach to real estate investment in Burien.

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.