Location: Seattle-Bellevue, WA | Metro: Seattle-Bellevue, WA HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,690 |
| 1 Bedroom | $1,760 |
| 2 Bedrooms | $2,060 |
| 3 Bedrooms | $2,690 |
| 4 Bedrooms | $3,200 |
| 5 Bedrooms | $3,712 |
| 6 Bedrooms | $4,157 |
| 7 Bedrooms | $4,490 |
| 8 Bedrooms | $4,715 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,760 | $206,092 | 0.85% | C |
| 2BR | $2,060 | $343,174 | 0.6% | D |
| 3BR | $2,690 | $592,031 | 0.45% | F |
| 4BR | $3,200 | $694,612 | 0.46% | F |
| 5BR | $3,712 | $785,522 | 0.47% | F |
U.S. Census Bureau data (2024)
The ZIP code 98188, located in Seatac, WA, is characterized by a significant rental population. With 58.5% of the residents being renters, it represents a substantial tenant pool. The market rent for the area is $1,817, which is notably lower than the Fair Market Rent (FMR) set at $2,210 for FY 2024. This discrepancy suggests that there is likely a high demand for rental properties among voucher holders.
To further understand the economic landscape, consider the median household income of $76,438. In this context, the typical market rent of $1,817 constitutes approximately 23.8% of the annual income when calculated monthly. This percentage indicates that while rent is a considerable expense, it is still within a manageable range for many households given the income level.
The fact that the market rent is below the FMR also points to an environment where Section 8 vouchers can be effectively utilized. Landlords in 98188 will find that their properties are attractive to voucher holders due to the lower rent compared to the FMR. This scenario typically leads to a higher volume of applications from tenants seeking housing assistance, thereby increasing the likelihood of finding tenants who can cover the rent reliably through their vouchers.
In summary, landlords in ZIP 98188 should anticipate a robust tenant pool heavily reliant on rental assistance programs such as Section 8. These tenants will be drawn to the area because of the relatively affordable rents compared to the FMR, making it easier for them to find suitable housing. The combination of a high percentage of renters and a median income level that supports the current market rent makes this ZIP code particularly well-suited for landlords willing to accept Section 8 vouchers.
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.