FY2027 Small Area FMR · Federal Way, WA

ZIP 98003 Fair Market Rent & Payment Standards

HUD's FY2027 Small Area Fair Market Rent for a two-bedroom home in ZIP code 98003 (Federal Way, WA) is $2,240 a month, up 2.3% from FY2026. That is 12% below the Seattle-Bellevue, WA area-wide FMR of $2,549.

2-bedroom SAFMR$2,240per month ▲ 2.3%

Area-wide 2 BR FMR$2,549Seattle-Bellevue, WA

Rank in the area126thof 153 ZIP codes

Payment standard range, 2 bedrooms

90% of SAFMR$2,016

2 BR Small Area FMR$2,240

110% of SAFMR$2,464

Housing agencies may set voucher payment standards anywhere from 90% to 110% of the FMR without asking HUD.

Studio$1,840▲ 1.1%

1 BR$1,920▲ 2.1%

2 BR$2,240▲ 2.3%

3 BR$2,920▲ 1.7%

4 BR$3,470▲ 3.0%

FY2027 FY2026

Where 98003 sits in the Seattle-Bellevue, WA area

Of the 153 ZIP codes HUD lists for the area, 98003 has the 126th highest two-bedroom Small Area FMR. Seattle-Bellevue, WA is one of the 65 metro areas where HUD requires Small Area FMRs for the Housing Choice Voucher program (designated 2023), so local housing agencies must set payment standards from this ZIP code's figure, normally between $2,016 and $2,464 for two bedrooms.

All unit sizes

Monthly gross rent including utilities
Unit	FY2027 SAFMR	Payment standard range	Area-wide FMR	FY2026 SAFMR
Studio	$1,840	$1,656 – $2,024	$2,091	$1,820
1 bedroom	$1,920	$1,728 – $2,112	$2,180	$1,880
2 bedrooms	$2,240	$2,016 – $2,464	$2,549	$2,190
3 bedrooms	$2,920	$2,628 – $3,212	$3,324	$2,870
4 bedrooms	$3,470	$3,123 – $3,817	$3,954	$3,370

A household renting a two-bedroom home at the Small Area FMR of $2,240 needs about $89,600 a year to keep housing costs at 30% of income. The area median family income is $164,400 and the 80% low-income limit for four people is $116,650. ZIP code 98003 lies mainly in King County. See the Seattle-Bellevue, WA metro page for the full income limits table and the household check.

Nearby ZIP codes

ZIP	Place	Distance	2 BR SAFMR
98023	Federal Way	2.2 mi	$2,340
98001	Auburn	2.5 mi	$2,600
98422	Tacoma	3.7 mi	$2,500
98354	Milton	3.7 mi	$2,440
98047	Pacific	4.4 mi	$2,170
98002	Auburn	4.7 mi	$2,040

Questions

What is the Fair Market Rent for ZIP code 98003?

HUD's FY2027 Small Area Fair Market Rents for 98003 are $1,840 (studio), $1,920 (1 BR), $2,240 (2 BR), $2,920 (3 BR) and $3,470 (4 BR) a month.

What is the Section 8 payment standard in 98003?

Housing agencies set payment standards between 90% and 110% of the applicable FMR without HUD approval. For a two-bedroom unit in 98003 that range is $2,016 to $2,464 if the agency uses Small Area FMRs. Ask your housing agency for its actual payment standard.

Which income limits apply in 98003?

The FY2026 income limits of the Seattle-Bellevue, WA area apply: median family income $164,400, low-income (80%) limit $116,650 for a family of four.