Location: Grays Harbor County, WA | Metro: Grays Harbor County, WA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $940 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,350 |
| 3 Bedrooms | $1,870 |
| 4 Bedrooms | $2,130 |
| 5 Bedrooms | $2,471 |
| 6 Bedrooms | $2,768 |
| 7 Bedrooms | $2,989 |
| 8 Bedrooms | $3,138 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 98587, located in Grays Harbor County, WA, reveals several key insights for potential landlords and small-portfolio investors.
The first question addresses whether the rent math works. The Fair Market Rent (FMR) for the area, set at $1,220 for fiscal year 2026, significantly exceeds the current market rent of $725 based on Census ACS data. This disparity indicates that landlords might struggle to justify higher rents to tenants unless they can offer superior amenities or location advantages.
Regarding the affordability of acquisition, the data shows that the median home value is currently unavailable, as is the average number of days on the market (DOM) and the percentage of homes requiring price cuts. Without these specifics, it's challenging to assess the precise cost and competitiveness of acquiring properties in this ZIP code. However, the lack of available data could suggest a less active market, which might benefit investors looking for undervalued opportunities.
The third question concerns tenant demand. With a population of 1,072 and a 21.1% renter share, there is a limited but present demand for rental properties. While the absolute numbers are small, the relative proportion of renters suggests that there is a steady need for housing in this area.
In conclusion, while the rent math in ZIP 98587 does not currently align favorably with the Fair Market Rent, the potential for acquiring properties at a lower cost is an intriguing possibility, especially given the limited data on property values and market activity. The existing tenant demand, albeit modest, provides a stable base for investment. Landlords should focus on understanding local market dynamics and possibly targeting niche segments to bridge the gap between current market rents and the FMR. Despite the challenges, the opportunity to capture a portion of the 21.1% renter share makes this ZIP code a viable option for those willing to invest time in market research and strategic planning.
Data Sources: FMR data from HUD (2027). 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.