Location: Yakima, WA | Metro: Yakima, 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 | $940 |
| 1 Bedroom | $950 |
| 2 Bedrooms | $1,240 |
| 3 Bedrooms | $1,720 |
| 4 Bedrooms | $1,890 |
| 5 Bedrooms | $2,192 |
| 6 Bedrooms | $2,455 |
| 7 Bedrooms | $2,651 |
| 8 Bedrooms | $2,784 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,720 | $428,121 | 0.4% | F |
U.S. Census Bureau data (2024)
The real estate landscape in ZIP code 98923 is poised for significant shifts over the next 12-24 months, driven by the interplay between home values and rental dynamics. The median home value stands at $351,197, a figure that reflects the current state of the market but also hints at potential volatility. Despite the lack of specific percentages for listings reductions and days on market (DOM), the absence of these metrics suggests stability in the housing market, indicating that neither sellers nor buyers are under extreme pressure to transact quickly.
On the rental side, the disparity between the Fair Market Rent (FMR) of $1350 and the actual market rate of $924 points to an underserved rental market. This gap signals that landlords can potentially increase rents to align more closely with FMR levels without significantly impacting occupancy rates. The higher FMR suggests that there is demand for rental units at a price point above the current average, which could be beneficial for landlords who can offer well-maintained properties.
For long-term investors, the setup in ZIP 98923 implies a cautious approach to appreciation. While the median home value indicates a solid base, the lack of specific data on listing reductions and DOM suggests that rapid appreciation is unlikely. Instead, the focus should be on maintaining properties to capitalize on rental income, given the potential to increase rents closer to FMR levels. Long-hold investors might see gradual increases in property value tied to broader economic trends rather than local market conditions alone.
The overall scenario in ZIP 98923 favors a balanced strategy where landlords and small-portfolio investors can leverage the rental market's growth potential while being prepared for a stable rather than rapidly appreciating housing market. By aligning rental rates with FMR and keeping properties in good condition, investors can ensure steady returns and possibly moderate capital appreciation over time.
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.