Location: Clallam County, WA | Metro: Clallam County, WA
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 | $1,060 |
| 1 Bedroom | $1,160 |
| 2 Bedrooms | $1,510 |
| 3 Bedrooms | $2,080 |
| 4 Bedrooms | $2,420 |
| 5 Bedrooms | $2,807 |
| 6 Bedrooms | $3,144 |
| 7 Bedrooms | $3,396 |
| 8 Bedrooms | $3,566 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,160 | $397,060 | 0.29% | F |
| 2BR | $1,510 | $417,631 | 0.36% | F |
| 3BR | $2,080 | $475,094 | 0.44% | F |
| 4BR | $2,420 | $512,447 | 0.47% | F |
U.S. Census Bureau data (2024)
The Section 8 program in ZIP code 98363, which covers Port Angeles, WA, presents a unique opportunity for landlords and small-portfolio investors due to the disparity between the Fair Market Rent (FMR) and the actual market rent. The FMR for the metro area for fiscal year 2026 is set at $1,360, whereas the Census American Community Survey (ACS) reports the average market rent at $1,171. This means that the FMR is $189 higher than the market rent, representing an increase of approximately 16.15%.
This gap makes it advantageous for landlords to accept Section 8 vouchers. Voucher holders can afford rents closer to the FMR, thus providing a higher yield compared to typical market rates. In other words, landlords who participate in the Section 8 program can potentially charge $189 more per month than what they might receive from non-voucher tenants. This is particularly significant given the broader economic context of Port Angeles, where 25.8% of residents are renters, the median home value is $450,665, and the median income is $64,869.
Accepting Section 8 tenants also mitigates the risk associated with housing below the open-market rates. Landlords can ensure steady, government-backed rental income that exceeds the local average, stabilizing cash flow and reducing the likelihood of vacancy. Furthermore, the higher FMR compared to the market rent suggests that the local rental market may be undervalued, offering an opportunity for landlords to capitalize on this discrepancy.
In conclusion, the current dynamics in Port Angeles, WA, favor participation in the Section 8 program. With a higher FMR than the prevailing market rent, landlords can expect to see increased yields and stable rental income, making it a strategic choice for investment in this area.
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.