Location: Western Worcester County, MA | Metro: Western Worcester County, MA HUD Metro FMR Area
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 | $1,370 |
| 1 Bedroom | $1,370 |
| 2 Bedrooms | $1,770 |
| 3 Bedrooms | $2,450 |
| 4 Bedrooms | $2,960 |
| 5 Bedrooms | $3,434 |
| 6 Bedrooms | $3,846 |
| 7 Bedrooms | $4,154 |
| 8 Bedrooms | $4,362 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,770 | $296,765 | 0.6% | F |
| 3BR | $2,450 | $373,670 | 0.66% | D |
| 4BR | $2,960 | $385,226 | 0.77% | D |
U.S. Census Bureau data (2024)
A household in ZIP code 01083, Warren, MA, earning the median income of $64,032, faces significant challenges in affording the market-rate rent of $1,041. This amount represents approximately 19.5% of their annual income, which is a considerable portion. The situation becomes even more complex when considering the Federal Market Rent (FMR) standard for ZIP 01083 in fiscal year 2024, set at $1,310. This figure exceeds both the market-rate and the median income levels, indicating a substantial affordability gap for residents.
The local rental market comprises 38.2% of the total population of 2,858, meaning there are roughly 1,092 households renting. Given the financial constraints faced by many residents, competition among landlords could be fierce. Those willing to accept lower rents might attract more tenants but would also face lower profit margins. On the other hand, landlords who align their rents closer to the FMR standard could struggle to find tenants willing or able to pay such rates without assistance.
The takeaway for landlords is clear: accepting Section 8 vouchers can be a strategic advantage in attracting tenants. While the voucher payment standard is higher than the market rate, it is still below the FMR. Landlords who are voucher-approved can tap into a government-supported tenant pool, ensuring steady income and reduced vacancy risks. However, they must be prepared to meet the administrative requirements and standards associated with the program. For those choosing to rely solely on cash-paying tenants, the focus should be on offering competitive pricing and value that aligns with the median income levels, thereby balancing affordability with profitability.
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.