FY2027 Small Area FMR · Olympia, WA

ZIP 98505 Fair Market Rent & Payment Standards

HUD's FY2027 Small Area Fair Market Rent for a two-bedroom home in ZIP code 98505 (Olympia, WA) is $1,880 a month, down 1.6% from FY2026. That is 3% below the Olympia-Lacey-Tumwater, WA area-wide FMR of $1,946.

2-bedroom SAFMR$1,880per month ▼ 1.6%

Area-wide 2 BR FMR$1,946Olympia-Lacey-Tumwater, WA

Rank in the area12thof 21 ZIP codes

Payment standard range, 2 bedrooms

90% of SAFMR$1,692

2 BR Small Area FMR$1,880

110% of SAFMR$2,068

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

Studio$1,530▲ 2.0%

1 BR$1,600▼ 2.4%

2 BR$1,880▼ 1.6%

3 BR$2,460▼ 3.5%

4 BR$3,030▼ 5.3%

FY2027 FY2026

Where 98505 sits in the Olympia-Lacey-Tumwater, WA area

Of the 21 ZIP codes HUD lists for the area, 98505 has the 12th highest two-bedroom Small Area FMR. Olympia-Lacey-Tumwater, WA is not on HUD's list of mandatory Small Area FMR areas, so voucher payment standards here are normally based on the area-wide FMR of $1,946 for two bedrooms; an agency that opts in to Small Area FMRs would use $1,880 for this ZIP code instead.

All unit sizes

Monthly gross rent including utilities
Unit	FY2027 SAFMR	Payment standard range	Area-wide FMR	FY2026 SAFMR
Studio	$1,530	$1,377 – $1,683	$1,586	$1,500
1 bedroom	$1,600	$1,440 – $1,760	$1,656	$1,640
2 bedrooms	$1,880	$1,692 – $2,068	$1,946	$1,910
3 bedrooms	$2,460	$2,214 – $2,706	$2,541	$2,550
4 bedrooms	$3,030	$2,727 – $3,333	$3,141	$3,200

A household renting a two-bedroom home at the Small Area FMR of $1,880 needs about $75,200 a year to keep housing costs at 30% of income. The area median family income is $122,800 and the 80% low-income limit for four people is $98,250. ZIP code 98505 lies mainly in Thurston County. See the Olympia-Lacey-Tumwater, WA county page for the full income limits table and the household check.

Nearby ZIP codes

ZIP	Place	Distance	2 BR SAFMR
98502	Olympia	2.6 mi	$1,880
98506	Olympia	5.8 mi	$1,780
98512	Olympia	7.5 mi	$1,980
98501	Olympia	7.6 mi	$1,930
98503	Lacey	9.1 mi	$1,960
98516	Olympia	9.1 mi	$2,280

Questions

What is the Fair Market Rent for ZIP code 98505?

HUD's FY2027 Small Area Fair Market Rents for 98505 are $1,530 (studio), $1,600 (1 BR), $1,880 (2 BR), $2,460 (3 BR) and $3,030 (4 BR) a month.

What is the Section 8 payment standard in 98505?

Housing agencies set payment standards between 90% and 110% of the applicable FMR without HUD approval. For a two-bedroom unit in 98505 that range is $1,692 to $2,068 if the agency uses Small Area FMRs. Ask your housing agency for its actual payment standard.

Which income limits apply in 98505?

The FY2026 income limits of the Olympia-Lacey-Tumwater, WA area apply: median family income $122,800, low-income (80%) limit $98,250 for a family of four.