Location: Berkshire County, MA | Metro: Berkshire County, MA (part) 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 | $1,260 |
| 1 Bedroom | $1,280 |
| 2 Bedrooms | $1,670 |
| 3 Bedrooms | $2,280 |
| 4 Bedrooms | $2,790 |
| 5 Bedrooms | $3,236 |
| 6 Bedrooms | $3,624 |
| 7 Bedrooms | $3,914 |
| 8 Bedrooms | $4,110 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,670 | $530,696 | 0.31% | F |
| 3BR | $2,280 | $717,865 | 0.32% | F |
| 4BR | $2,790 | $922,687 | 0.3% | F |
U.S. Census Bureau data (2024)
The ZIP code 01245, located in Monterey, MA, has a population of 692 residents, with only 12.1% being renters. This indicates that the area is primarily dominated by homeowners rather than renters, suggesting that the demand for rental properties, including those utilizing Section 8 vouchers, is relatively low. The median household income in this ZIP code is significantly high at $136,875, which contrasts sharply with the Fair Market Rent (FMR) set at $1660 per month for FY 2024.
To put this into perspective, if we assume an average market rent similar to the FMR, then typical rent would consume approximately 14.5% of the median monthly income. This calculation is derived from the annual median income divided by 12 months, resulting in a monthly income of about $11,406. At $1660 per month, the rent would be roughly 14.5% of the monthly income. However, given the limited data on actual market rents, this figure serves as a conservative estimate based on the FMR.
The scarcity of Section 8 vouchers in this area can be attributed to the higher income levels and lower percentage of renters. Landlords in ZIP 01245 should not expect a high volume of tenants seeking Section 8 assistance due to the mismatch between the local income levels and the typical rent prices. Instead, they might anticipate a tenant pool that is financially stable and able to afford market rates without government subsidies.
In summary, ZIP 01245 is not a renter-heavy area with deep voucher demand but rather a homeowner-dominated area where vouchers are scarce. The expected tenant profile includes individuals who are likely to have stable incomes and be capable of paying market rents without relying on housing assistance programs.
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.