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 | $1,050 |
| 1 Bedroom | $1,110 |
| 2 Bedrooms | $1,410 |
| 3 Bedrooms | $1,930 |
| 4 Bedrooms | $2,360 |
| 5 Bedrooms | $2,738 |
| 6 Bedrooms | $3,067 |
| 7 Bedrooms | $3,312 |
| 8 Bedrooms | $3,478 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,410 | $526,965 | 0.27% | F |
| 3BR | $1,930 | $582,414 | 0.33% | F |
| 4BR | $2,360 | $681,296 | 0.35% | F |
| 5BR | $2,738 | $721,600 | 0.38% | F |
U.S. Census Bureau data (2024)
ZIP code 99003 is situated in the city of Chatteroy, WA. It is a predominantly owner-occupied neighborhood with a total population of 4,810 residents. Only 10.5% of these residents are renters, indicating a low demand for rental properties. The median household income in this area is strong at $77,129, reflecting a community that is financially stable and likely able to afford higher living costs. This stability is further underscored by the median home value of $594,138, which suggests that the local housing market is robust and well-established.
The economic landscape shifts when considering the rental sector. According to the Census American Community Survey (ACS), the market rent for ZIP 99003 is $907 per month. In stark contrast, the Fair Market Rent (FMR) for the zip code in fiscal year 2024 is set at $1,450. This significant gap between the FMR and the actual market rent presents an opportunity for landlords and investors who can leverage the higher subsidy rates to attract and retain tenants who qualify for the Section 8 program.
Given these figures, ZIP 99003 is better suited for a hands-on value-add buyer rather than a hands-off voucher operator. The low percentage of renters and the disparity between FMR and market rent indicate that there is room for improvement and strategic investment in the rental market. A value-add buyer could focus on upgrading properties to meet the higher standards often required by Section 8, thereby maximizing the potential returns from the subsidy difference. This approach would also help address any quality concerns that might arise from the existing rental stock, given the high median home value and income levels in the 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.