Location: Franklin County, MA | Metro: Amherst Town-Northampton, MA 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 | $1,710 |
| 1 Bedroom | $1,920 |
| 2 Bedrooms | $2,450 |
| 3 Bedrooms | $3,210 |
| 4 Bedrooms | $3,330 |
| 5 Bedrooms | $3,863 |
| 6 Bedrooms | $4,327 |
| 7 Bedrooms | $4,673 |
| 8 Bedrooms | $4,907 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,920 | $251,669 | 0.76% | D |
| 2BR | $2,450 | $332,936 | 0.74% | D |
| 3BR | $3,210 | $508,128 | 0.63% | D |
| 4BR | $3,330 | $645,229 | 0.52% | F |
| 5BR | $3,863 | $774,086 | 0.5% | F |
U.S. Census Bureau data (2024)
The ZIP code 01002, located in Amherst, MA, boasts a population of 26,370 individuals, with 53.1% being renters. This indicates a significant rental market presence, suggesting that there is indeed a substantial demand for Section 8 vouchers in the area. The median household income stands at $70,818, which provides a baseline for understanding the financial capabilities of potential tenants.
The typical market rent in this ZIP code is $2,808 per month. When compared to the median household income, this means that the average rent consumes approximately 49.5% of a household's monthly income. This calculation is derived from dividing the annual income by 12 to find the monthly income ($70,818 / 12 = $5,901.5), then dividing the market rent by the monthly income and multiplying by 100 to get the percentage ($2,808 / $5,901.5 * 100 = 47.5%).
In contrast, the Fair Market Rent (FMR) for FY 2024 is set at $1,800, indicating that the actual market rent is significantly higher than the government benchmark. This gap suggests that landlords might face challenges in finding tenants who can afford the market rate without assistance.
A landlord in ZIP 01002 should anticipate a tenant pool heavily reliant on Section 8 vouchers to manage housing costs. These tenants will likely be seeking affordable housing options that align closer to the FMR rather than the current market rates. Given the high proportion of renters and the relatively high market rents, landlords would benefit from considering how they can offer competitive pricing to attract voucher holders while ensuring their properties meet the necessary standards for Section 8 participation.
To summarize, ZIP 01002 is a renter-heavy area with a strong demand for Section 8 vouchers. The typical market rent represents nearly half of the average household's monthly income, making it difficult for many to afford housing without assistance. Landlords should prepare for a tenant base that requires rental subsidies and look to align their offerings with the FMR to remain competitive and attractive to this demographic.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.