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 | $1,330 |
| 1 Bedroom | $1,500 |
| 2 Bedrooms | $1,900 |
| 3 Bedrooms | $2,370 |
| 4 Bedrooms | $2,500 |
| 5 Bedrooms | $2,900 |
| 6 Bedrooms | $3,248 |
| 7 Bedrooms | $3,508 |
| 8 Bedrooms | $3,683 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,900 | $253,622 | 0.75% | D |
| 3BR | $2,370 | $285,760 | 0.83% | C |
| 4BR | $2,500 | $292,652 | 0.85% | C |
| 5BR | $2,900 | $316,791 | 0.92% | C |
U.S. Census Bureau data (2024)
The ZIP code 01109 in Springfield, MA, is characterized by a substantial rental population, with 52.4% of residents being renters. This indicates that it is indeed a renter-heavy area with likely high demand for housing vouchers such as those provided through the Section 8 program. The median household income stands at $48,415, which is an important figure when evaluating the affordability of housing.
In terms of market rent, the average is set at $1,775 per month. To contextualize this, the typical rent consumes approximately 36.7% of the median monthly income, calculated by dividing the annual median income by 12 and then by the market rent. This percentage suggests that while rent is significant, it is still within reach for many households given their income levels.
The Fair Market Rent (FMR) for the area, as determined by HUD for FY 2024, is $1,410. This means that the actual market rent ($1,775) exceeds the FMR by about $365. For landlords, this discrepancy highlights the importance of understanding the voucher system and how it can help bridge the gap between the FMR and the higher market rents.
A landlord in ZIP 01109 should expect tenants who rely on Section 8 vouchers to cover a portion of their rent. These tenants will typically have low to moderate incomes, often below the median household income, and may be seeking affordable housing options. Given the high percentage of renters and the relatively high market rent compared to the median income, there is a strong incentive for both landlords and tenants to participate in the Section 8 program. This ensures that landlords receive consistent rental payments, and tenants find housing they can afford.
To summarize, ZIP 01109 presents itself as a prime location for landlords willing to work with Section 8 tenants. With over half of the population renting and a significant portion relying on housing assistance, landlords can expect steady demand for properties that accept vouchers. The challenge lies in balancing the higher market rents against the voucher amounts, but with careful management, this can be a profitable and stable arrangement for all parties involved.
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.