Location: Western Worcester 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 | $1,330 |
| 1 Bedroom | $1,430 |
| 2 Bedrooms | $1,810 |
| 3 Bedrooms | $2,380 |
| 4 Bedrooms | $2,870 |
| 5 Bedrooms | $3,329 |
| 6 Bedrooms | $3,728 |
| 7 Bedrooms | $4,026 |
| 8 Bedrooms | $4,227 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,380 | $388,475 | 0.61% | D |
U.S. Census Bureau data (2024)
The ZIP code 01031 in DE has a median household income of $60,517. At the market rate of $1,175 per month for rent, a household would spend approximately 23% of their annual income on housing alone. This figure is derived from the Census American Community Survey (ACS) data, which provides a snapshot of current rental prices.
In comparison, the Fair Market Rent (FMR) for this ZIP code in fiscal year 2024 is set at $1,420. This means that if a tenant were to use a Section 8 voucher, they would be eligible for a higher payment amount than the current market rate. The discrepancy between the actual market rate and the FMR highlights an affordability gap where the government subsidy exceeds the typical rent, potentially offering a financial advantage to landlords who accept vouchers.
With 46.2% of the population being renters and a total population of 1,676, there is a significant portion of the community seeking rental housing. This demographic suggests a competitive landscape for landlords, as many properties vie for tenants. The affordability gap, where the voucher payment is higher than the market rate, could influence this competition, making properties that accept vouchers more attractive to potential tenants.
The takeaway for landlords considering whether to accept Section 8 vouchers or focus on cash-paying tenants is clear: accepting vouchers can provide a steady and sometimes higher income stream. While the administrative process might be more involved, the guaranteed payment and reduced vacancy risk make it a viable strategy, especially in a market where the FMR exceeds the typical rent by $245 per month. Landlords should weigh these factors carefully when deciding their rental strategy in ZIP 01031.
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.