Location: Springfield, 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 | $1,250 |
| 1 Bedroom | $1,430 |
| 2 Bedrooms | $1,810 |
| 3 Bedrooms | $2,260 |
| 4 Bedrooms | $2,440 |
| 5 Bedrooms | $2,830 |
| 6 Bedrooms | $3,170 |
| 7 Bedrooms | $3,424 |
| 8 Bedrooms | $3,595 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,810 | $273,365 | 0.66% | D |
| 3BR | $2,260 | $351,910 | 0.64% | D |
| 4BR | $2,440 | $347,019 | 0.7% | D |
U.S. Census Bureau data (2024)
The renter's landscape in ZIP 01011, Chester, MA, presents a nuanced scenario for landlords and small-portfolio investors. The median household income stands at $89,299, which places significant constraints on the ability of residents to pay market-rate rents. At $1,122 per month, the market rate rent for the area, as reported by the Census Bureau's American Community Survey (ACS), already represents a considerable financial burden for many households.
Comparatively, the Fair Market Rent (FMR) set by HUD for ZIP 01011 in fiscal year 2024 is $1,270, slightly above the market rate but within reach for some higher-income households. However, the FMR is the benchmark used for determining voucher payments, meaning that tenants receiving housing assistance would have their rent subsidized up to this amount. This implies that voucher holders might find it easier to afford housing in Chester compared to those paying market rates out-of-pocket.
With only 19.3% of the 1,175-person population being renters, the competition among landlords is relatively low. This translates into a smaller pool of potential tenants who can afford market-rate rents, making the demand for affordable housing options quite high. Landlords must consider how the affordability gap affects their strategy for attracting tenants. Offering units that align with HUD's FMR could attract voucher holders, thereby securing a steady stream of rental income.
The takeaway for landlords considering voucher versus cash-pay strategies is clear: while cash-paying tenants might offer immediate flexibility, the stability and predictability of voucher payments make them a valuable option. Given the median income and the slight disparity between market rates and FMRs, focusing on voucher tenants can be a strategic move to ensure occupancy and manage risk effectively in Chester's rental market.
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.