Location: Bellingham, WA | Metro: Bellingham, WA MSA
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 | $1,350 |
| 1 Bedroom | $1,480 |
| 2 Bedrooms | $1,940 |
| 3 Bedrooms | $2,690 |
| 4 Bedrooms | $3,000 |
| 5 Bedrooms | $3,480 |
| 6 Bedrooms | $3,898 |
| 7 Bedrooms | $4,210 |
| 8 Bedrooms | $4,421 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,480 | $501,042 | 0.3% | F |
| 2BR | $1,940 | $600,939 | 0.32% | F |
| 3BR | $2,690 | $836,364 | 0.32% | F |
U.S. Census Bureau data (2024)
ZIP code 98262 in Whatcom County, Washington, stands out due to its unique demographic and economic characteristics. With only 957 residents, it has a very low population density, making it an ideal location for those seeking a quieter community. The rental rate of 11.1% indicates that homeownership is prevalent, with the median home value sitting at a substantial $645,050. This high median home value suggests a strong local economy and a preference for owning property over renting.
The median income in ZIP 98262 is $83,000, which is relatively high and supports the expensive housing market. However, the low percentage of renters and lack of available market rent data might indicate that the rental sector is underdeveloped or not well-documented. Despite this, the Fair Market Rent (FMR) for Section 8 vouchers in the area for fiscal year 2024 is set at $1290. Landlords should be aware that this figure is used to determine the maximum rental assistance payment for tenants participating in the Section 8 program.
Given the limited rental market data and the high median home value, it's important for landlords and small-portfolio investors to consider the potential challenges in attracting Section 8 tenants. The voucher amount may not cover the higher-end rental prices typical in such a high-value housing market, unless there is a significant adjustment in future FMR assessments.
The data signature for ZIP 98262 reads as "stable." The high median income and home values suggest a consistent economic environment where property values are unlikely to fluctuate significantly. However, the underdeveloped rental market could imply a transitional phase if there is a growing trend towards renting in the area. Investors should keep an eye on any changes in the rental market dynamics to understand if the area is shifting towards a more transitional state.
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.