Location: Yukon-Koyukuk Census Area, AK | Metro: Yukon-Koyukuk Census Area, AK
| Unit Size | Monthly FMR |
|---|---|
| Studio | $950 |
| 1 Bedroom | $960 |
| 2 Bedrooms | $1,200 |
| 3 Bedrooms | $1,660 |
| 4 Bedrooms | $1,970 |
| 5 Bedrooms | $2,285 |
| 6 Bedrooms | $2,559 |
| 7 Bedrooms | $2,764 |
| 8 Bedrooms | $2,902 |
The Section 8 thesis in ZIP code 99767, Rampart, AK, highlights a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for the metro area in fiscal year 2026 is set at $1,130. However, the median rent in this area is listed as $684,768,649, which appears to be an error or outlier. To accurately assess the impact, we will focus on the FMR.
The disparity between FMR and market rent, assuming typical market conditions, suggests that landlords could potentially face reduced rental income if they rely solely on Section 8 vouchers. For instance, if the actual market rent were significantly higher than the FMR, say $1,500, then the gap would be $370, or approximately 24%. This scenario would mean landlords might need to subsidize the difference, reducing their yield.
In the context of Rampart, AK, where the median home value is $75,000 and the median income is $-666,666,666, it is evident that the local economy is unique. The negative income figures likely indicate data anomalies or issues with reporting. Nonetheless, the community's small size and young median age of 33.4 years suggest a dynamic environment, but also economic challenges, such as an unemployment rate of 33.3%, which is above the national average.
If the FMR exceeds the market rent, then voucher tenants could become a yield play, offering landlords a stable source of income through government subsidies. Conversely, if the market rent is higher, landlords must consider the potential cost of accepting tenants whose rents are subsidized below the open-market rates, which could impact profitability.
This analysis underscores the importance of understanding local market dynamics and the specific financial implications of participating in the Section 8 program in Rampart, AK.
Data Sources: FMR data from HUD (2027).
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.