Section 8 Fair Market Rent (FMR) for ZIP 01104 - 2027

Location: Springfield, MA | Metro: Springfield, MA MSA

Investment Score for ZIP 01104

D
Monthly Rent (2BR)
$1,960
Median Price (2BR)
$266,503
1% Rule
0.74%
Annual Yield
8.83%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,380
1 Bedroom$1,550
2 Bedrooms$1,960
3 Bedrooms$2,440
4 Bedrooms$2,580
5 Bedrooms$2,993
6 Bedrooms$3,352
7 Bedrooms$3,620
8 Bedrooms$3,801

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,960 $266,503 0.74% D
3BR $2,440 $296,014 0.82% C
4BR $2,580 $313,507 0.82% C
5BR $2,993 $341,150 0.88% C

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
23,209
Median Household Income
$50,154
Housing Units
9,568
Renter Percentage
52.2%
Occupancy Rate
94.5%
Renter Occupied
4,720

1390 is the Fair Market Rent (FMR) for ZIP code 01104 in Springfield, MA, as set for fiscal year 2024. This figure represents the upper limit for Section 8 rental payments in the area. In contrast, the market rent reported by the Census Bureau's American Community Survey stands at 1120, indicating that Section 8 rates are above average local rents. The median home value in the region is 281393, suggesting a moderate housing market. Renter share in ZIP 01104 is a substantial 52.2%, highlighting the significant demand for rental properties. The median income of 50154 suggests that many residents might rely on assistance programs such as Section 8 to afford housing. While the days on market (DOM) data is not available, the low price-cut share of 0.2% implies that property values remain stable, without significant downward pressure. For landlords and small-portfolio investors, these numbers paint a picture of a stable but modest rental market where Section 8 can provide reliable income. The verdict on Section 8 participation in ZIP 01104 is positive, given the alignment between Section 8 rates and market conditions.

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.