Location: Yukon-Koyukuk Census Area, AK | Metro: Fairbanks-College, AK 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 | $1,050 |
| 1 Bedroom | $1,150 |
| 2 Bedrooms | $1,510 |
| 3 Bedrooms | $2,100 |
| 4 Bedrooms | $2,540 |
| 5 Bedrooms | $2,946 |
| 6 Bedrooms | $3,300 |
| 7 Bedrooms | $3,564 |
| 8 Bedrooms | $3,742 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,150 | $160,520 | 0.72% | D |
| 2BR | $1,510 | $212,538 | 0.71% | D |
| 3BR | $2,100 | $320,707 | 0.65% | D |
| 4BR | $2,540 | $369,183 | 0.69% | D |
U.S. Census Bureau data (2024)
The ZIP code 99701 in Fairbanks, AK, is characterized by a significant rental population, with 54.6% of residents being renters. This makes it a prime location for landlords and small-portfolio investors interested in Section 8 tenants. The median household income stands at $75,668, which is relatively high compared to national averages. However, the typical market rent of $1,858 represents a substantial portion of the average income.
To gauge the depth of voucher demand, consider that the Fair Market Rent (FMR) for FY 2024 is set at $1,380. This indicates that many Section 8 vouchers will cover a large portion of the market rent, making it feasible for tenants to afford housing in this area. Given the gap between the FMR and the actual market rent, landlords can expect a steady flow of tenants who rely on vouchers to supplement their housing costs.
The high percentage of renters suggests a robust demand for affordable housing options. Landlords in ZIP 99701 should anticipate a tenant profile that includes families and individuals who benefit from government assistance programs. These tenants will likely have a monthly income that, when combined with their Section 8 vouchers, totals around $1,858 to meet the market rent requirements. On average, this means that typical rent consumes about 24.6% of the local median income, calculated by dividing $1,858 by $75,668 and multiplying by 100.
In summary, ZIP 99701 offers a solid opportunity for landlords looking to cater to a Section 8 tenant pool. With over half of the population renting, there is a strong base of potential tenants who require affordable housing solutions. The income levels suggest that while rent is a considerable expense, it remains manageable with the help of vouchers. Expect a diverse group of tenants seeking stable, affordable housing options 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.