Location: Spokane, WA | Metro: Spokane, WA HUD Metro FMR Area
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 | $1,190 |
| 1 Bedroom | $1,260 |
| 2 Bedrooms | $1,600 |
| 3 Bedrooms | $2,190 |
| 4 Bedrooms | $2,670 |
| 5 Bedrooms | $3,097 |
| 6 Bedrooms | $3,469 |
| 7 Bedrooms | $3,747 |
| 8 Bedrooms | $3,934 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,600 | $313,464 | 0.51% | F |
| 3BR | $2,190 | $375,973 | 0.58% | F |
| 4BR | $2,670 | $422,746 | 0.63% | D |
U.S. Census Bureau data (2024)
The Section 8 analysis for ZIP code 99001 in Airway Heights, WA, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for the fiscal year 2024 is set at $1,320, while the Zillow Observed Rent Index (ZORI) indicates that the average market rent is $1,654. This represents a gap of $334, or approximately 25%, between what landlords can charge under Section 8 and the open-market rental rates.
Given that the FMR is lower than the market rent, landlords should be aware of the costs associated with housing voucher tenants at rates below the open market. These costs include potential delays in lease-up due to the approval process, as well as the administrative burden of managing Section 8 properties. However, the primary consideration is the financial impact of accepting a rent that is $334 less per month than the prevailing market rate. This difference translates into a substantial annual loss of $4,008 per unit, which must be weighed against the benefits of stable tenancy and government-backed payments.
Airway Heights has a population where 67.9% are renters, indicating a strong demand for rental properties. Despite this high percentage of renters, the median home value stands at $372,565, suggesting a relatively affluent community. However, the median household income is $62,518, which is indicative of a disparity between income levels and housing costs. This context highlights the importance of understanding the local market dynamics when deciding whether to participate in the Section 8 program.
In summary, the gap between FMR and market rent in ZIP 99001 presents a clear financial decision point for landlords. While the community's high percentage of renters and median home values suggest a robust market, the lower median income points to a need for affordable housing solutions. Landlords must carefully consider the trade-offs between accepting Section 8 tenants at a reduced rate and the potential for higher yields through open-market rentals.
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.