Location: Kennewick-Richland, WA | Metro: Kennewick-Richland, 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 | $1,260 |
| 1 Bedroom | $1,410 |
| 2 Bedrooms | $1,710 |
| 3 Bedrooms | $2,360 |
| 4 Bedrooms | $2,690 |
| 5 Bedrooms | $3,120 |
| 6 Bedrooms | $3,494 |
| 7 Bedrooms | $3,774 |
| 8 Bedrooms | $3,963 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,360 | $498,275 | 0.47% | F |
| 4BR | $2,690 | $620,400 | 0.43% | F |
| 5BR | $3,120 | $776,934 | 0.4% | F |
U.S. Census Bureau data (2024)
The situation in ZIP code 99338 presents an interesting dynamic for both renters and landlords. The median income stands at $111,042, which is notably high. However, when compared to the market rate for rent, which is $1,792 (ZORI), the affordability becomes less clear. This market rate represents a significant portion of the average household’s income, making it challenging for many residents to secure housing without financial strain.
The federal payment standard for housing vouchers in ZIP 99338 for fiscal year 2024 is set at $1,710 (FMR). While this is slightly below the market rate, it still constitutes a substantial expense for the local rental market. For renters relying on vouchers, finding properties that accept them and fall within the $1,710 limit will be crucial. Landlords who accept vouchers can expect a steady, government-backed rent payment, but they must also consider the potential for lower rents compared to market rates.
With 18.1% of the 20,633 population being renters, the competition among landlords is relatively moderate. However, the affordability gap between the median income and the market rent suggests that there might be a sizeable segment of the renting population looking for more affordable options. This could mean that landlords who offer units at or near the voucher payment standard may attract a larger pool of tenants, potentially reducing vacancy rates.
The takeaway for landlords considering their strategy regarding voucher versus cash-pay tenants is straightforward. Accepting vouchers can provide a stable source of income, though at a rate slightly below the market. If landlords aim to maximize short-term profits, focusing on cash-paying tenants might be more beneficial. However, in a scenario where the market rate is challenging for many residents, accepting vouchers could ensure a consistent tenant base and reduce the risk of prolonged vacancies. Landlords should weigh these factors carefully, considering both the financial stability and the competitive landscape of the local rental market.
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.