Location: Lake and Peninsula Borough, AK | Metro: Lake and Peninsula Borough, AK
| Unit Size | Monthly FMR |
|---|---|
| Studio | $900 |
| 1 Bedroom | $1,130 |
| 2 Bedrooms | $1,240 |
| 3 Bedrooms | $1,720 |
| 4 Bedrooms | $2,040 |
| 5 Bedrooms | $2,366 |
| 6 Bedrooms | $2,650 |
| 7 Bedrooms | $2,862 |
| 8 Bedrooms | $3,005 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 99606 reveals key insights for landlords and small-portfolio investors interested in the area.
The rent math does not favor participation in the Section 8 program. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,240. However, the current market rent, according to Census ACS data, stands at $1,550. This means that landlords would be renting out properties below market rates if they participate in Section 8, which could result in financial losses.
Acquisition affordability is challenging due to limited data. The median home value is listed as N/A, indicating either insufficient data or significant variability in property values. Additionally, the days on market (DOM) and percentage of homes with price cuts are also marked as N/A, suggesting that the local real estate market may be opaque or less active compared to other areas. This lack of clarity makes it difficult to gauge how affordable it is to acquire properties in this ZIP code.
Tenant demand is present but constrained by the small population size. With a total population of 231, the area has a 28.9% renter share, translating to approximately 67 potential renters. While there is a notable portion of the population seeking rental housing, the overall number is quite low, which could limit the pool of tenants and make finding suitable residents more challenging.
In summary, while there is a demand for rental housing in ZIP 99606, the rent math does not support participation in the Section 8 program given the discrepancy between the FMR and market rent. Limited data on acquisition costs and market dynamics suggest that purchasing properties may be complex and financially uncertain. Landlords and investors should proceed with caution, considering these factors alongside the small but present tenant base.
Data Sources: FMR data from HUD (2027). 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.