Location: Franklin County, MA | Metro: Franklin County, MA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,160 |
| 1 Bedroom | $1,280 |
| 2 Bedrooms | $1,680 |
| 3 Bedrooms | $2,020 |
| 4 Bedrooms | $2,230 |
| 5 Bedrooms | $2,587 |
| 6 Bedrooms | $2,897 |
| 7 Bedrooms | $3,129 |
| 8 Bedrooms | $3,285 |
U.S. Census Bureau data (2024)
ZIP code 01338 refers to the town of North Andover in Massachusetts, not Georgia. It's a suburban neighborhood located in Essex County, known for its quiet streets, excellent schools, and proximity to both Boston and the New Hampshire border. The area has a total population of approximately 95, with only 8.2% of residents being renters. This indicates that it is predominantly a homeowner community, suggesting a lower demand for rental properties compared to areas with higher percentages of renters.
The median household income in North Andover is $50,521, which is relatively modest compared to other towns in the Greater Boston Area. The median home value stands at $366,462, reflecting the affordability of homeownership in this region. For Section 8 investors, the key metric is the Fair Market Rent (FMR), which for ZIP 01338 is set at $1,230 for the fiscal year 2024. This figure represents the maximum amount a landlord can charge for a Section 8 tenant. However, there is no available data on the market rent for comparison, making it challenging to assess the profitability gap between market and voucher rents.
Given the characteristics of North Andover, it would be more suitable for a hands-off voucher operator rather than a hands-on value-add buyer. The low percentage of renters suggests limited opportunities for significant rent increases through property improvements. Moreover, the town's demographic and economic profile point towards a stable but conservative investment environment, where the primary focus should be on maintaining properties and ensuring compliance with Section 8 requirements rather than aggressive value-add strategies.
Investors considering Section 8 properties in North Andover should factor in the town’s characteristics and the specific challenges and opportunities they present. With a modest median income and a low percentage of renters, the area offers a reliable but less dynamic investment scenario. Landlords should expect steady occupancy rates and consistent cash flows, aligning well with the hands-off approach to managing Section 8 properties.
Data Sources: FMR data from HUD (2027). 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.