Location: Portland-Vancouver-Hillsboro, OR | Metro: Portland-Vancouver-Hillsboro, OR-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 | $1,560 |
| 1 Bedroom | $1,670 |
| 2 Bedrooms | $1,920 |
| 3 Bedrooms | $2,610 |
| 4 Bedrooms | $3,140 |
| 5 Bedrooms | $3,642 |
| 6 Bedrooms | $4,079 |
| 7 Bedrooms | $4,405 |
| 8 Bedrooms | $4,625 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,920 | $345,540 | 0.56% | F |
| 3BR | $2,610 | $464,110 | 0.56% | F |
| 4BR | $3,140 | $554,053 | 0.57% | F |
| 5BR | $3,642 | $648,402 | 0.56% | F |
U.S. Census Bureau data (2024)
The potential risks for a Section 8 investment in ZIP code 98662 in Vancouver, WA, are significant and must be carefully considered. Tenant turnover is a primary concern, as the market rent stands at $1,742, whereas the Fair Market Rent (FMR) for FY 2024 is $2,160. This gap suggests that tenants who rely on Section 8 vouchers might struggle to cover the difference between the FMR and the market rent, leading to higher turnover rates.
Vacancy exposure is another critical issue. With an average Days on Market (DOM) of just 12 days, landlords can expect quick occupancy, but this also implies that vacancies can occur rapidly if a tenant leaves. The short time frame for filling vacancies can leave properties exposed to periods without rental income, especially during transitions.
Deferred maintenance poses a substantial risk due to the relatively high typical home value of $484,371 compared to the median income of $94,303. This disparity indicates that homeowners and landlords may delay necessary repairs and upgrades, which could lead to higher maintenance costs over time. Additionally, the financial strain on residents might result in increased wear and tear on properties, further exacerbating maintenance issues.
However, these risks are tempered by the high renter share of 36.0%. A significant portion of the population renting their homes typically translates into higher demand for housing supported by Section 8 vouchers. This demand can stabilize occupancy rates and provide a steady stream of tenants, mitigating some of the concerns about vacancy and turnover.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.