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 |
|---|---|---|---|---|
| 2BR | $1,240 | $283,289 | 0.44% | F |
| 3BR | $1,720 | $374,059 | 0.46% | F |
| 4BR | $1,890 | $370,419 | 0.51% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 98947, Cowiche, WA, within Yakima County, are straightforward when you understand how the program operates. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code is set at $1400 for fiscal year 2024. This figure is specifically tailored to reflect the rental conditions in ZIP 98947 alone, ensuring it accurately represents the local housing market.
However, the local market rent, as per Census ACS data, stands at $878 for a two-bedroom unit. This discrepancy highlights the difference between what the government deems a fair rent and the actual market rates. Landlords often wonder how much they will receive from a voucher once the tenant's portion and utility allowances are factored in. Let's break it down.
A Section 8 voucher holder pays 30% of their adjusted income toward rent. For simplicity, let's assume an average adjusted income of $1200 per month. Thus, the tenant would pay $360 towards rent ($1200 x 0.30 = $360).
The remaining amount, up to the SAFMR of $1400, is covered by the housing authority. This means the housing authority would pay $1040 ($1400 - $360) directly to the landlord. Additionally, there are utility allowances which can vary but typically add a few hundred dollars to the reimbursement. For a two-bedroom apartment, the utility allowance might be around $300 per month, depending on the specifics of the voucher and the household's needs.
In total, a landlord could expect to receive approximately $1340 per month from a Section 8 voucher holder for a two-bedroom apartment in ZIP 98947. This is calculated as the $1040 direct payment plus the $300 utility allowance. It's important to note that the exact amounts depend on the individual's income and the specific terms of their voucher.
Given the local market rent of $878, the typical reimbursement gap for a landlord in ZIP 98947 would be a surplus of $462 per month. This surplus is calculated by subtracting the local market rent ($878) from the total expected reimbursement ($1340). Therefore, landlords can expect to receive significantly more than the typical market rent for a two-bedroom unit 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.