Section 8 Fair Market Rent (FMR) for ZIP 98862 - 2027

Location: Okanogan County, WA | Metro: Okanogan County, WA

Investment Score for ZIP 98862

F
Monthly Rent (2BR)
$1,320
Median Price (2BR)
$619,376
1% Rule
0.21%
Annual Yield
2.56%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$950
1 Bedroom$1,040
2 Bedrooms$1,320
3 Bedrooms$1,830
4 Bedrooms$1,950
5 Bedrooms$2,262
6 Bedrooms$2,533
7 Bedrooms$2,736
8 Bedrooms$2,873

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
1BR $1,040 $501,622 0.21% F
2BR $1,320 $619,376 0.21% F
3BR $1,830 $713,226 0.26% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
2,995
Median Household Income
$71,080
Housing Units
2,150
Renter Percentage
22.7%
Occupancy Rate
64.2%
Renter Occupied
313

The renter's perspective in Winthrop, WA, ZIP 98862, reveals a challenging affordability gap. The median household income stands at $71,080, which translates to an average monthly income of approximately $5,923. At a market rate of $1,133 per month, rent consumes nearly 19% of the average household's monthly income. This makes housing relatively affordable but still represents a significant portion of earnings.

However, when comparing the market rate to the Fair Market Rent (FMR) set at $1,570 for fiscal year 2024, the disparity becomes more pronounced. The FMR exceeds the market rate by $437, indicating that the rental market is currently below the federal standard. For households relying on vouchers, this means they have more purchasing power in the local market, potentially driving up demand for units that accept vouchers.

With 22.7% of the 2,995 residents being renters, there is a notable segment of the population seeking housing. The affordability gap suggests that many renters may struggle to find suitable housing without assistance. Landlords who accept vouchers can tap into this demand, especially from those who cannot afford the FMR but may be priced out of the lower market rates due to competition.

The takeaway for landlords is clear: accepting vouchers can provide a steady stream of tenants in a competitive market. While the voucher rate of $1,570 is higher than the current market rate, it may be necessary to consider this strategy to remain competitive and ensure occupancy. Vouchers offer a reliable source of income and can help landlords attract and retain tenants in a challenging economic environment.

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.