Location: Lewis County, WA | Metro: Tacoma, 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 | $1,300 |
| 1 Bedroom | $1,450 |
| 2 Bedrooms | $1,780 |
| 3 Bedrooms | $2,460 |
| 4 Bedrooms | $2,800 |
| 5 Bedrooms | $3,248 |
| 6 Bedrooms | $3,638 |
| 7 Bedrooms | $3,929 |
| 8 Bedrooms | $4,125 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,450 | $356,933 | 0.41% | F |
| 2BR | $1,780 | $423,983 | 0.42% | F |
U.S. Census Bureau data (2024)
Eatonville, WA, located in ZIP code 98304, is a small, predominantly owner-occupied neighborhood with a total population of 770 residents. Only 7.7% of the inhabitants are renters, indicating a strong preference for homeownership among its residents. The median household income in the area stands at a robust $113,718, reflecting a relatively affluent community. The median home value in ZIP 98304 is $377,419, which further underscores the financial stability of the local housing market.
The Fair Market Rent (FMR) for ZIP 98304 in fiscal year 2024 is set at $1740, though specific market rent figures are currently unavailable. This FMR represents the government's estimate of the maximum amount a Section 8 tenant can pay towards their rent, based on the size of the unit and the local rental market conditions. Given the limited number of renters and the high median income, it's likely that the local rental market is quite competitive and possibly commands higher rents than the FMR.
For a Section 8 investor considering ZIP 98304, the decision should hinge on whether they prefer a hands-off approach or aim to actively manage and improve properties. Due to the low percentage of renters and the affluent nature of the community, a hands-off voucher operator might find limited opportunities. Conversely, a hands-on value-add buyer could benefit from the potential to attract tenants willing to pay above the FMR, given the area's desirability and economic strength. However, such an investor would need to be prepared for a potentially challenging market, where competition for rental units is high, and property values are already elevated.
In conclusion, while ZIP 98304 offers a stable and affluent environment, its suitability for Section 8 investment depends heavily on the investor's strategy. A hands-on approach, focusing on enhancing property value and attracting tenants who might pay more than the FMR, is likely to be more successful in this neighborhood.
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.