Location: Springfield, MA | Metro: Springfield, 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 | $1,310 |
| 1 Bedroom | $1,480 |
| 2 Bedrooms | $1,870 |
| 3 Bedrooms | $2,330 |
| 4 Bedrooms | $2,460 |
| 5 Bedrooms | $2,854 |
| 6 Bedrooms | $3,196 |
| 7 Bedrooms | $3,452 |
| 8 Bedrooms | $3,625 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,480 | $248,650 | 0.6% | F |
| 2BR | $1,870 | $320,389 | 0.58% | F |
| 3BR | $2,330 | $427,050 | 0.55% | F |
| 4BR | $2,460 | $572,719 | 0.43% | F |
| 5BR | $2,854 | $685,867 | 0.42% | F |
U.S. Census Bureau data (2024)
The rent math in ZIP code 01077, Southwick, Massachusetts, within the Springfield, MA MSA metro area, shows a positive margin for landlords. The Fair Market Rent (FMR) set at $1460 for fiscal year 2024 is higher than the market rent of $1,332 reported by the Census Bureau's American Community Survey (ACS), indicating that landlords can expect a monthly surplus of $128 per unit if they align their rents with the FMR.
Regarding acquisition affordability, the median home value stands at $407,179, which presents a reasonable investment opportunity for those looking to acquire rental properties. However, the lack of data on days on market (DOM) and the percentage of homes needing price cuts suggests that the local real estate market dynamics may require further investigation to determine the ease of selling or turning over properties.
Tenant demand is evident in the area, with a total population of 9,217 and a renter share of 16.6%. This means that approximately 1,526 residents are actively seeking rental housing, providing a steady pool of potential tenants for landlords.
In summary, ZIP 01077 offers a favorable environment for landlords and small-portfolio investors due to the positive rent differential, reasonable median home values, and sufficient tenant demand. While the median home value is a solid indicator of acquisition affordability, the absence of specific DOM and price cut percentages means that caution should be exercised when evaluating the liquidity and turnover risks of the real estate market in this area.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.